Amazon.com (AMZN, Financials), the e-commerce, cloud computing and digital services company behind Amazon Web Services and Prime, plans to raise at least $25 billion through a U.S. dollar bond sale.
The company said the proceeds will be used for general corporate purposes. That can include repaying debt, funding acquisitions and supporting investments.
The timing is notable because Amazon has been spending heavily on artificial intelligence and data-center infrastructure. Other large technology companies, including Alphabet, Meta and Nvidia, have also turned to the bond market to help fund AI expansion.
The Amazon notes will range from three to 40 years. The final size of the offering could change depending on investor demand.
For investors, the bond sale shows how expensive the AI buildout has become, even for companies with large cash flows. The key question is whether Amazon can turn that spending into stronger growth at AWS and better long-term returns.