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Amazon is making a massive AI investment push, ramping up capital expenditures to over $100 billion in 2025—a move that outpaces rivals in the ongoing AI arms race. The company’s latest earnings report revealed that Q4 capital spending hit $26.3 billion, a pace that will remain steady throughout the year.
This aggressive spending signals Amazon’s commitment to AI dominance, particularly in cloud computing, where AWS continues to be a major revenue driver. The surge in investment comes as competitors like Microsoft, Google, and Meta also pour billions into AI infrastructure, but Amazon appears to be accelerating faster than expected.
The urgency was reportedly sparked by DeepSeek, an AI breakthrough that intensified competition. While details on Amazon’s exact AI initiatives remain vague, it’s clear that the company sees AI as critical to its future growth—whether through cloud services, AI-powered e-commerce, or automation in logistics.
With tech giants racing to build more powerful AI models and infrastructure, Amazon’s bold spending spree is a sign that the AI revolution is far from slowing down. The question now: will this investment translate into long-term dominance, or is Amazon taking an expensive gamble?
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