Amazon is raising its 2026 capital spending to $220 billion, which CNBC reports is driven by higher memory costs, while its AWS cloud division posted 37% year-over-year sales growth that exceeded analyst forecasts of 31%.
Key facts
- Amazon raised its 2026 capital expenditure plan to $220 billion, according to CNBC.
- CNBC attributes the increase to higher memory costs.
- AWS sales grew 37% year over year.
- Analysts had expected AWS growth of 31%.
Amazon has raised its planned capital spending for 2026 to $220 billion, according to CNBC, with the company citing higher memory costs as a driver behind the larger investment figure.
CNBC reported that memory costs were specifically named in connection with the raised capital expenditure target, reflecting cost pressures facing large technology companies as they expand infrastructure.
Amazon’s cloud computing division, Amazon Web Services, reported sales growth of 37% year over year, according to CNBC.
That figure exceeded market expectations, as analysts had forecast 31% growth for the unit, according to CNBC.
It is not clear from the available reporting how the $220 billion figure compares with Amazon’s previous 2026 spending plans or the size of the increase.
Why it matters
Capital spending by a company the size of Amazon can affect supplier demand and broader technology markets. The higher memory costs cited behind the increased budget point to cost pressures in the sector, while the AWS growth figure indicates continued demand for cloud services.
Frequently asked questions
How much is Amazon planning to spend in 2026?
Amazon has raised its 2026 capital expenditure plan to $220 billion, according to CNBC.
Why is Amazon increasing its capital spending?
CNBC reported that the increase is due to higher memory costs.
How did AWS perform?
AWS sales grew 37% year over year, beating analyst expectations of 31% growth, according to CNBC.