Amazon market cap surpasses $3T after AI fuels cloud growth
Amazon has become the fifth company in history to reach a valuation of $3 trillion. Shares in the e-commerce and cloud-computing giant hit a record high Monday, elevating its market capitalization to a level attained only by Nvidia, Apple, Google parent Alphabet and LinkedIn parent Microsoft. Amazon's rally follows a strong earnings report that showed surging cloud growth driven by AI demand. The results won over investors who were wary of hyperscalers' spending on artificial intelligence infrastructure. Amazon's valuation hit a 17-year low as recently as late March.
Amazon has become the fifth company in history to reach a valuation of $3 trillion. Shares of the e-commerce and cloud-computing giant climbed to a record high on Monday, pushing its market capitalization to this landmark level.
Only four other companies have previously attained this valuation: Nvidia, Apple, Google parent Alphabet, and LinkedIn parent Microsoft. Amazon’s achievement places it among the most valuable public firms of all time.
The rally followed a strong earnings report that highlighted robust growth in the company’s cloud business. Demand for artificial intelligence services has been a major driver of Amazon’s cloud expansion.
The results helped ease investor concerns about heavy spending on AI infrastructure by major cloud providers. Positive financial performance reassured the market about the returns on those investments.
Amazon’s valuation had fallen to a 17-year low as recently as late March. The rapid recovery underscores the renewed confidence in the company’s growth prospects, particularly in cloud and AI.
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