Amazon’s Growth Amid Market Challenges
Amazon (NASDAQ: AMZN), with a market capitalization of $2.63 trillion, remains the fifth-largest company globally, focusing on improving profitability despite maturing revenue streams. The company’s strategic pivot into generative AI and robotics aims to enhance operational efficiency. In 2025, Amazon laid off 14,000 corporate employees, with plans for an additional 30,000 layoffs in 2026, potentially saving the company up to $4 billion annually based on employee salary data.
Amazon’s partnership with Anthropic, where it holds 15% to 19%, further strengthens its position in the AI sector. Anthropic’s flagship large language model, Claude, boasts a 42% market share for coding applications, significantly outpacing competitors like OpenAI’s ChatGPT at 21%. The ongoing development of custom AI chips is expected to boost cost efficiency and expand Amazon’s economic moat in technology.
