Amazon has returned to the US bond market with a new offering of at least $25 billion, adding another jumbo deal to a growing wave of AI‑linked corporate debt. The sale, structured in as many as eight tranches with maturities ranging from three to 40 years, is intended to support Amazon’s massive capital spending plans as it builds out data center and AI infrastructure for itself and its AWS cloud customers, according to Bloomberg.
Investor demand for the new bonds peaked around $62 billion, more than double the deal size, though below the roughly $126 billion in orders Amazon attracted for its record $37 billion multi‑currency issuance in March. With this latest transaction, Amazon’s total bond issuance over the past year now exceeds $100 billion, including euro, Swiss franc, and Canadian dollar deals used to diversify its funding base.
Proceeds from the offering are earmarked for general corporate purposes, which may include repaying existing debt, financing acquisitions, and funding capital expenditures—analysts widely view the primary use as AI‑driven data center investments. The longest 40‑year tranche is reportedly priced at around 1.25 percentage points above comparable US Treasuries, reflecting still‑strong appetite for high‑grade tech credit despite concerns about rising AI‑related leverage.
Amazon’s move underscores how central the bond market has become to Big Tech’s AI ambitions, as companies raise hundreds of billions of dollars to fund infrastructure ranging from chips and servers to power and networking. Bloomberg data show that AI‑linked corporate bond issuance has reached about $335 billion globally so far this year, more than double 2025 levels, with Amazon’s latest deal a major contributor to that total.
