Amazon Hits $3 Trillion Market Value Milestone Amid AI Spending Surge

Amazon has become the fifth company in history to reach a market value of $3 trillion. The e-commerce and cloud computing giant reached this milestone on Monday, with shares rising about 5% to $285.01. This gain brings Amazon's stock for the year to more than 23%.

The rally follows last week's surge in Amazon shares after the company reported quarterly results. Its cloud computing division, Amazon Web Services (AWS), posted its fastest growth in over four years, easing investor concerns over AI infrastructure investments. Strong demand for AI services helped boost AWS revenue, while Amazon expects to spend about $200 billion on capital expenditures in 2026.

AWS has expanded partnerships with leading AI developers, including OpenAI and Anthropic, with whom Amazon has agreed to invest up to $25 billion. The company is also investing $50 billion in OpenAI. By contrast, Tesla, Alphabet, and Meta faced investor concerns after their heavy AI investments weighed on free cash flow in the latest quarter.