Amazon.com Inc. has experienced limited stock market growth this year despite significant investments in artificial intelligence. Shares have increased about 3% in 2025, while the S&P 500 has seen a gain of 7% and Meta Platforms has risen more than 20% during the same period.

The company’s AI initiatives are mainly focused on Amazon Web Services, with expectations for heightened demand as AI adoption grows.

In its retail sector, AI is utilized for targeted advertising, logistics efficiency, and the Rufus chatbot, which helps shoppers locate products.

Amazon is set to announce its second-quarter earnings on July 31, with analysts predicting earnings of US$1.32 per share and revenue of US$162 billion.

These figures represent year-over-year increases of 4% and 9%, respectively. However, they lag behind the average earnings growth of 15% for the “Magnificent Seven” top tech firms.

The company plans to allocate US$104 billion for capital expenditures this year, the highest amount in the S&P 500. This budget will support data centers, warehouse construction, and enhancements to its logistics network.

Recent commitments include US$30 billion for data center projects in Pennsylvania and North Carolina. Job cuts in the cloud-computing division have been announced to optimize resources as AI integration continues.

Amazon is also focusing on robotics, including the development of humanoid robots to enhance warehouse and logistics operations. Analysts estimate that automating delivery processes could save the company over US$7 billion annually by 2032.

Recent Amazon developments