Amazon Is Spending So Much on AI That Even Its Cash Isn’t Enough. Why Investors Shouldn’t Be Worried.

Amazon (AMZN) is heading back to the bond market, this time looking to raise at least $25 billion. The plan, revealed in an SEC filing, splits the debt into eight parts that mature between three and 40 years. Officially, the money is for general corporate purposes, including debt repayment and funding investments. In reality, it’s all about feeding Amazon’s AI infrastructure. Barclays, Goldman Sachs, JP Morgan, and Morgan Stanley are running the deal, with Amazon signaling this to be its last debt raise of the year.

The numbers behind Amazon’s AI push explain the reason it needs the cash. The company plans to spend roughly $200 billion in 2026, a big jump from $131 billion in 2025. Even for a company as cash-rich as Amazon, spending on this scale is hard to fund from cash alone. Prior to this, Amazon had already raised around $54 billion in the U.S. and Europe, along with another $10 billion in Canada. CEO Andy Jassy has defended the heavy spending, calling AI a once-in-a-lifetime opportunity that’s worth betting big on.