Amazon.com announced Tuesday it is looking to raise $25 billion through a US dollar bond sale, marking the company's latest and final debt issuance of 2026 to fund its aggressive artificial intelligence infrastructure build-out.
The offering, which includes fixed-rate and floating-rate notes across eight tranches with maturities ranging from 2029 to 2066, saw peak demand reach $62 billion before being pared to about $41 billion, according to Bloomberg. Barclays, Goldman Sachs, J.P. Morgan and Morgan Stanley are the joint book-running managers.
Tech giants are turning to debt markets at an unprecedented pace to finance the enormous capital requirements of AI. Amazon, Alphabet, Microsoft and Meta are collectively expected to spend more than $700 billion on AI this year. Amazon's March bond sale of $37 billion was already heavily oversubscribed.
An Amazon spokesperson said proceeds will be used for corporate purposes including future capital expenditures and repaying upcoming debt maturities. The company will not issue more debt for the remainder of 2026.
The move reflects a broader shift among Silicon Valley giants, who historically relied on cash reserves, now tapping both debt and equity markets. Google-parent Alphabet last month raised roughly $85 billion in an upsized equity sale, while Meta sold $25 billion in investment-grade bonds earlier this year following a $30 billion sale in October.
