"Amazon recently issued $15 billion in debt, including a rare 40-year bond, and saw demand approach $80 billion - more than five times oversubscribed . Investors accepted yields only about 80 basis points above comparable U.S. Treasuries, effectively treating Amazon as quasi-sovereign credit despite the long maturity. This level of demand is extraordinary for a private company raising funds for aggressive capital expenditures."
"The proceeds will primarily support a multi-year AI infrastructure buildout: data centers, custom silicon like Trainium chips, and expanded GPU clusters through Amazon Web Services (AWS). Bond buyers are signaling that they trust Amazon to invest tens of billions annually in AI without eroding returns - a level of confidence not extended to most corporations attempting similar scale. Why Cheap, Long-Term Capital Creates an Unbreakable AI Moat This financing advantage highlights two structural shifts in AI infrastructure. First, capital is flowing disproportionately to companies with"
Amazon is positioned to surpass Walmart in annual revenue as faster growth across e-commerce, logistics, advertising, and cloud computing outpaces traditional retail. Amazon has delivered over 20% CAGR in recent years versus Walmart's low single-digit growth, while Walmart maintains omnichannel and grocery strength. A $15 billion debt offering, including a 40-year bond oversubscribed nearly fivefold and priced close to Treasuries, signaled strong investor confidence. Proceeds will fund a multi-year AI infrastructure buildout—data centers, custom Trainium silicon, and expanded GPU clusters at AWS. Access to cheap, long-term capital enables sustained AI investment and a durable competitive moat into the 2030s.
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