Amazon’s latest guidance points to roughly $220 billion in 2026 cash capital expenditures, raised from an earlier $200 billion target during the Q2 2026 earnings call in July, primarily due to elevated memory costs for AI infrastructure rather than expanded capacity plans. This level reflects aggressive AWS buildout to address demand that management says exceeds available supply through at least 2026, supported by 36.7% AWS revenue growth and a $496 billion backlog in signed commitments. Operating cash flow has risen but trails the spending pace, producing negative trailing free cash flow and sustained headwinds until new data centers generate returns. Key near-term catalysts include the Q3 2026 earnings release, which could revise guidance, alongside ongoing comparisons to peers like Microsoft and Google amid broader AI capex trends.