Summary

Amazon announced a 50% increase in capital expenditures this year, reaching US$200 billion in 2026, primarily for AI infrastructure. While AWS revenue grew 24%, concerns about high spending and lower returns on investment led to a significant drop in Amazon’s share price. Despite the focus on AI and e-commerce, the company faced challenges with its physical stores and a US$610 million asset impairment.

https://www.straitstimes.com/business/amazon-sees-50-boost-to-capital-spending-this-year-shares-tumble?ref=top-stories