Amazon Web Services is experiencing a widespread outage affecting trading on platforms including Coinbase and FanDuel. The cloud giant reported operational issues Thursday evening, with full recovery expected to take several hours longer than anticipated. AWS accounts for about a third of the cloud infrastructure market, making this outage particularly impactful for millions of companies relying on its services.

The outage stems from overheating at a data center in AWS's US-East-1 region in northern Virginia. AWS confirmed issues are affecting a single Availability Zone, with engineers working to bring additional cooling system capacity online. Impaired EC2 instances, which provide virtual server capacity, remain the primary concern for customers as AWS continues recovery efforts.

Both FanDuel and Coinbase posted on X acknowledging the AWS-related issues. Sports bettors complained about lost bets when unable to cash out on FanDuel, while cryptocurrency traders faced extended outages on Coinbase. The incident highlights the fragility of cloud-dependent platforms when major providers face technical failures, particularly for services requiring high availability.