HEY, BIG SPENDER: Amazon stock falls 10% on $200 billion spending forecast, earnings miss.

Amazon said it expects capital expenditures to continue to climb higher this year as it aggressively invests in data centers and other infrastructure to meet a surge in artificial intelligence demand.

The company projected capex to hit $200 billion this year, while analysts were expecting $146.6 billion, according to FactSet.

“With such strong demand for our existing offerings and seminal opportunities like AI, chips, robotics, low earth orbit satellites, we expect to invest about $200 billion in capital expenditures across Amazon in 2026, and anticipate strong long-term return on invested capital,” CEO Andy Jassy said in a statement.

During a conference call with investors, Jassy said that spending would “predominantly” go to AWS.

“We have very high demand,” Jassy said. “Customers really want AWS for core and AI workloads, and we’re monetizing capacity as fast as we can install it.”

Earnings misses happen, but that is one yuge capex for 2026.