AGPL is meant to address the situation where someone takes GPL code, such as a database server, runs it on their systems (possibly with proprietary modifications), and provides network access to it to users, and does not provide those users with the source code. That is perfectly acceptable under GPL, GPL doesn't trigger if you aren't distributing the program.
What AGPL changed is that they made it trigger on distribution (like GPL) and on interactive access of modified versions over a network.
If Amazon's plan had been to make money by hosting a proprietary fork of the server, which would give them some sort of advantage over other clouds like Azure or Google that only have the non-proprietary version, AGPL would thwart them.
But that doesn't seem to be the case. They don't appear to trying to make it proprietary. They seem happy to run the same code that everyone else does. They are making money from it by selling management and support services for it.
AGPL doesn't impede doing that at all.