Microsoft (MSFT) aims to manufacture most new Surface laptops, servers, and possibly Xbox consoles outside China starting 2026, while Amazon.com's (AMZN) Amazon Web Services is shifting artificial intelligence server production outside China, Nikkei Asia reported Thursday, citing people briefed on the matter.

Microsoft has asked several of its suppliers to help prepare "out of China" production and assembly of certain products, including components, according to the report.

AWS is also looking to remove Chinese suppliers from its supply chain, although this is "very difficult in real practice," Nikkei said, citing one of the sources.

Meanwhile, Alphabet's (GOOG, GOOGL) Google asked its suppliers to increase server production in Thailand, with one server system assembler building four new facilities to double capacity, the report said.

The companies are working to protect their supply chains from potential disruptions amid geopolitical risks, such as the US-China trade tensions, Nikkei said.

Amazon.com and Microsoft shares fell 0.3% and 0.5% respectively in recent Thursday trading, while Alphabet was up 0.4%.

Microsoft, Amazon.com and Alphabet did not immediately reply to MT Newswires' requests for comment.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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