Amazon Bets 260 Trillion on AI and Satellites, Reports Strong Performance

Amazon.com, Inc., the U.S. e-commerce and cloud computing company, reported revenue of $213.4 billion (approximately KRW 277 trillion) in the fourth quarter of 2025, a 14% increase year-over-year. Full-year revenue rose 12% to about $716.9 billion (approximately KRW 932 trillion).

Amazon Web Services (AWS) sales grew 24%, and advertising revenue increased 22%, driving overall growth. Despite one-time expenses—resolving a tax dispute in Italy, workforce reductions and asset impairments in its physical stores—both operating income and net income improved.

The company noted that capital expenditures have risen sharply as it increases investments in artificial intelligence infrastructure, in-house chips, and its logistics and media businesses.

For the first quarter of 2026, Amazon projects revenue growth of 11% to 15% and operating income between $16.5 billion and $21.5 billion. This outlook reflects higher costs associated with its satellite communications venture, Project Kuiper, and the expansion of its international quick-commerce services.

Amazon also plans to raise its full-year 2026 capital expenditure to as much as $200 billion (around KRW 260 trillion). Following the earnings release, the company’s share price dipped as investors focused on the sizeable investments required for AI and data-center capacity.

As a leading global online retailer and cloud infrastructure provider, Amazon sits alongside Microsoft and Google as one of the “big three” cloud service platforms. The company has recently accelerated its investments in next-generation infrastructure—including generative AI, custom semiconductors and low-Earth-orbit satellite networks—cementing its role as a key driver in the global IT industry’s AI infrastructure race.