Multiple AWS outages caused by AI coding bot blunder, report claims — Amazon says both incidents were 'user error'

Published: (February 20, 2026 at 10:29 AM EST)
2 min read

Source: Tom’s Hardware

AWS outages linked to AI coding bot

Amazon Web Services (AWS) reportedly suffered two production outages caused by misbehaving AI agents. According to the Financial Times, the most recent incident occurred in December 2023 when the Koiro AI coding tool erased the environment it was working on, leading to a 13‑hour disruption. A senior AWS employee told the publication that “the engineers let the AI resolve an issue without intervention. The outages were small but entirely foreseeable.”

Company response

AWS stated that the incidents were relatively minor. The December disruption affected only a single service in parts of mainland China, and the earlier outage had no impact on customer‑facing services. Amazon told the Financial Times that the involvement of AI tools was coincidental and that the same issue could have occurred with other developer tools or manual actions. “In both instances, this was user error, not AI error,” the company said.

AWS employees noted that the company’s AI tools inherit the permissions of the user operating them. Because the engineers involved did not require secondary approval, their AI agents proceeded with changes that broke the systems. AWS treated the errors as a user access‑control issue rather than a problem with the AI tool itself and said it has implemented safeguards to prevent similar incidents in the future.

AI tool usage across the tech industry

  • Microsoft: CEO Satya Nadella reported that nearly 30 % of Microsoft’s code is now written by artificial intelligence.
    Source

  • Nvidia: Over 30,000 Nvidia engineers use a specialized version of Cursor AI, and CEO Jensen Huang allegedly asked managers not using AI, “Are you insane?”
    Source

Impact on entry‑level coding jobs

The proliferation of AI coding tools is contributing to a decline in entry‑level programming positions. Studies show a 13 % drop in such openings over the past three years. Industry leaders, CEOs, and educational institutions have warned that AI could dramatically reduce white‑collar employment, with some estimates suggesting up to a 20 % unemployment rise within five years.

  • Job market data: 13 % reduction in entry‑level coding roles over three years.
    Source

  • Broader concerns: Potential for AI to replace a significant portion of white‑collar jobs.
    Source

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