Amazon’s E-Commerce Spurred by Tax Refunds; Chip Unit Hits $20 Billion Run Rate
Amazon’s first-quarter e-commerce sales accelerated, supported by tax-refund-driven consumer spending while Walmart registered 24% e-commerce growth and TJX maintained off-price momentum. Its custom silicon unit hit a $20 billion revenue run rate with 40% sequential growth and major clients Anthropic and OpenAI, aiming for $50 billion revenue despite capex pressure.
1. First-Quarter E-Commerce Acceleration
Amazon’s e-commerce segment saw robust first-quarter sales growth, driven in part by tax-refund-fueled consumer spending. Walmart registered 24% e-commerce expansion year-over-year, while TJX Companies maintained consistent off-price performance, underscoring Amazon’s competitive positioning within the broader retail landscape.
2. Custom Silicon Unit Milestones and Outlook
Amazon’s custom silicon division reached a $20 billion revenue run rate with 40% sequential growth, positioning it among the top three data-center chip suppliers globally. Major customers such as Anthropic and OpenAI have committed multi-gigawatt capacity, and the business is targeting $50 billion in revenue despite elevated capital expenditure pressure.