Amazon Discloses Up to $80 Billion Secured Loan Facility for AI Hardware

Amazon.com Inc. has established a secured supplier financing facility to borrow up to approximately $80 billion against technology and data center hardware purchases. Accessible from early 2027 through the third quarter of 2028, the variable-rate borrowings carry five-year maturities per drawn tranche. The arrangement shifts Amazon toward asset-backed debt as surging artificial intelligence infrastructure costs drove a $42.4 billion free cash outflow for the year ended September 30. Total spending commitments reached $883.6 billion, up 36% quarter-over-quarter, while long-term debt increased to $173.1 billion by late September.