v3.25.4
Segment Information
 12 Months Ended
Dec. 31, 2025
Segment Reporting [Abstract]  
Segment Information SEGMENT INFORMATION
We have organized our operations into three segments: North America, International, and AWS. We allocate to segment results the operating expenses “Fulfillment,” “Technology and infrastructure,” “Sales and marketing,” and “General and administrative” based on usage, which is generally reflected in the segment in which the costs are incurred. The majority of technology costs recorded in “Technology and infrastructure” are incurred in the U.S. and are included in our North America and AWS segments. The majority of infrastructure costs recorded in “Technology and infrastructure” are allocated to the AWS segment based on usage. There are no internal revenue transactions between our reportable segments. Our chief operating decision maker (“CODM”) is our President and Chief Executive Officer. Our CODM regularly reviews consolidated net sales, consolidated operating expenses, and consolidated operating income (loss) by segment. Amounts included in consolidated operating expenses include “Cost of sales,” “Fulfillment,” “Technology and infrastructure,” “Sales and marketing,” “General and administrative,” and “Other operating expense (income), net.” Our CODM manages our business primarily by reviewing consolidated results by segment on a quarterly basis, and using those results along with forecasts and other non-financial information in our annual budgeting process.
North America
The North America segment primarily consists of amounts earned from retail sales of consumer products (including from sellers) and advertising and subscription services through North America-focused online and physical stores. This segment includes export sales from these online stores.
International
The International segment primarily consists of amounts earned from retail sales of consumer products (including from sellers) and advertising and subscription services through internationally-focused online stores. This segment includes export sales from these internationally-focused online stores (including export sales from these online stores to customers in the U.S., Mexico, and Canada), but excludes export sales from our North America-focused online stores.
AWS
The AWS segment consists of amounts earned from global sales of compute, storage, database, and other services for start-ups, enterprises, government agencies, and academic institutions.
Information on reportable segments and reconciliation to consolidated net income is as follows (in millions):
  
Year Ended December 31,
 202320242025
North America
Net sales$352,828 $387,497 $426,305 
Operating expenses337,951 362,530 396,686 
Operating income$14,877 $24,967 $29,619 
International
Net sales$131,200 $142,906 $161,894 
Operating expenses133,856 139,114 157,144 
Operating income (loss)$(2,656)$3,792 $4,750 
AWS
Net sales$90,757 $107,556 $128,725 
Operating expenses66,126 67,722 83,119 
Operating income$24,631 $39,834 $45,606 
Consolidated
Net sales$574,785 $637,959 $716,924 
Operating expenses537,933 569,366 636,949 
Operating income36,852 68,593 79,975 
Total non-operating income705 21 17,336 
Provision for income taxes(7,120)(9,265)(19,087)
Equity-method investment activity, net of tax(12)(101)(554)
Net income$30,425 $59,248 $77,670 
Net sales by groups of similar products and services, which also have similar economic characteristics, is as follows (in millions):
  
Year Ended December 31,
 202320242025
Net Sales:
Online stores (1)$231,872 $247,029 $269,287 
Physical stores (2)20,030 21,215 22,561 
Third-party seller services (3)140,053 156,146 172,162 
Advertising services (4)46,906 56,214 68,635 
Subscription services (5)40,209 44,374 49,619 
AWS90,757 107,556 128,725 
Other (6)4,958 5,425 5,935 
Consolidated$574,785 $637,959 $716,924 
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(1)Includes product sales and digital media content where we record revenue gross. We leverage our retail infrastructure to offer a wide selection of consumable and durable goods that includes media products available in both a physical and digital format, such as books, videos, games, music, and software. These product sales include digital products sold on a transactional basis. Digital media content subscriptions that provide unlimited viewing or usage rights are included in “Subscription services.”
(2)Includes product sales where our customers physically select items in a store. Sales to customers who order goods online for delivery or pickup at our physical stores are included in “Online stores.”
(3)Includes commissions and any related fulfillment and shipping fees, and other third-party seller services.
(4)Includes sales of advertising services to sellers, vendors, publishers, authors, and others, through programs such as sponsored ads, display, and video advertising.
(5)Includes annual and monthly fees associated with Amazon Prime memberships, as well as digital video, audiobook, digital music, e-book, and other non-AWS subscription services.
(6)Includes sales related to various other offerings (such as shipping services, healthcare services, and certain licensing and distribution of video content) and our co-branded credit card agreements.
Net sales are attributed to countries primarily based on country-focused online and physical stores or, for AWS purposes, the selling entity.
Net sales attributed to countries that represent a significant portion of consolidated net sales are as follows (in millions):
 Year Ended December 31,
 202320242025
United States$395,637 $438,015 $489,657 
Germany37,588 40,856 45,900 
United Kingdom33,591 37,855 43,212 
Japan26,002 27,401 30,688 
Rest of world81,967 93,832 107,467 
Consolidated$574,785 $637,959 $716,924 
Total segment assets exclude corporate assets, such as cash and cash equivalents, marketable securities, other long-term investments, corporate facilities, goodwill and other acquired intangible assets, and tax assets. Technology infrastructure assets, which are included in property and equipment, net, net additions, and the depreciation and amortization expense on these assets, are allocated among the segments based on usage, with the majority allocated to the AWS segment. Usage of technology infrastructure assets by the North America and International segments, and the related allocation of total net additions, can fluctuate on a quarter-to-quarter basis, and is affected by seasonality, peak periods, new product or service offerings, and other factors.
Total segment assets reconciled to consolidated amounts are as follows (in millions):
 December 31,
 202320242025
North America (1)$196,029 $210,120 $235,652 
International (1)69,718 69,487 81,984 
AWS (2)108,533 155,953 252,588 
Corporate153,574 189,334 247,818 
Consolidated$527,854 $624,894 $818,042 
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(1)North America and International segment assets primarily consist of property and equipment, operating leases, inventory, accounts receivable, and digital video and music content.
(2)AWS segment assets primarily consist of property and equipment, accounts receivable, and operating leases.
Property and equipment, net by segment is as follows (in millions):
 December 31,
 202320242025
North America$93,632 $103,041 $122,043 
International24,357 25,618 30,632 
AWS72,701 110,683 190,055 
Corporate13,487 13,323 14,295 
Consolidated$204,177 $252,665 $357,025 
Total net additions to property and equipment include technology infrastructure assets and the effect of non-cash activity such as property and equipment acquired but not yet paid.
Total net additions to property and equipment are as follows (in millions):
 Year Ended December 31,
 202320242025
North America (1)$17,529 $24,348 $35,919 
International (1)4,144 6,643 7,617 
AWS (2)24,843 53,267 96,496 
Corporate1,828 1,494 2,320 
Consolidated$48,344 $85,752 $142,352 
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(1)Includes property and equipment added under finance leases of $525 million, $616 million, and $1.0 billion in 2023, 2024, and 2025, and under build-to-suit lease arrangements of $356 million, $89 million, and $20 million in 2023, 2024, and 2025.
(2)Includes property and equipment added under finance leases of $117 million, $238 million, and $1.9 billion in 2023, 2024, and 2025, and under build-to-suit lease arrangements of $1 million, $8 million, and $421 million in 2023, 2024, and 2025.
U.S. property and equipment, net and operating leases were $196.0 billion, $241.6 billion, and $321.9 billion, as of December 31, 2023, 2024, and 2025, and non-U.S. property and equipment, net and operating leases were $80.7 billion, $87.2 billion, and $121.2 billion as of December 31, 2023, 2024, and 2025. Except for the U.S., property and equipment, net and operating leases in any single country were less than 10% of consolidated property and equipment, net and operating leases.
Depreciation and amortization expense on property and equipment, including corporate property and equipment, are allocated to all segments based on usage.
Total depreciation and amortization expense, by segment, is as follows (in millions):
 Year Ended December 31,
 202320242025
North America$13,678 $14,285 $15,503 
International4,016 4,462 4,907 
AWS12,531 13,320 21,450 
Consolidated$30,225 $32,067 $41,860