Why Is Amazon Spending Hundreds of Billions of Dollars on Artificial Intelligence?

By Parkev Tatevosian, CFA – Sep 23, 2025 at 5:00AM

NASDAQ: AMZN

Amazon

Market Cap

$2.3T

Today's Change

(1.66%) $3.53

Current Price

$216.57

Price as of October 20, 2025, 3:58 p.m. ET

The innovative technology is poised to enhance employee productivity and improve the customer experience.

Amazon's (AMZN 1.66%) management team is aggressively spending on artificial intelligence, and investors are curious about this strategy.

*Stock prices used were the afternoon prices of Sept. 19, 2025. The video was published on Sept. 21, 2025.

About the Author

A Fool since 2019, and a graduate of Cal State LA with a B.S. in Finance and M.A. in Economics. Parkev is an adjunct professor of Finance and enjoys reading about financial and economic history. You'll often find him writing about stocks in the consumer goods and technology sectors.

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Parkev Tatevosian, CFA has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Amazon. The Motley Fool has a disclosure policy. Parkev Tatevosian is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool.

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