Amazon Boosts Capex Guidance to $220 Billion Amid Memory Cost Hikes

Amazon raised its capital expenditure (capex) guidance for 2026 to $220 billion, up from an earlier estimate of about $200 billion. The increase is attributed to higher memory costs.

Capex has grown significantly over the past two years, rising from $52.73 billion in 2023 to $131.82 billion in 2025, while cash from operations increased from $84.95 billion to $139.51 billion during the same period.

AWS revenue grew 36.7% in Q2, with a $496 billion backlog, but Amazon CEO Andy Jassy warned that the company will encounter free cash flow headwinds until new data centers come online.