Amazon’s 2026 capital expenditure guidance stands at approximately $220 billion following the July 30 earnings update, up from the initial $200 billion target set in February, driven primarily by surging AI infrastructure demand and elevated memory costs. AWS revenue accelerated to 37% year-over-year in Q2, outpacing prior quarters, while quarterly capex reached $54 billion and trailing twelve-month spending hit $173 billion. Management has noted that even this elevated level will leave capacity short of customer commitments through 2027. Free cash flow turned negative at $7.6 billion on a trailing basis amid the ramp, with debt issuance helping fund the outlays. Q3 results, expected in late October, and any further component-cost or demand signals will shape whether actual 2026 spending exceeds key market thresholds.