Amazon.com Inc. has reached a market capitalization of $2 trillion for the first time in its history.

The mentioned e-commerce giant demonstrates by its example that scaling a business and exploring new areas of activity is not an adventurousness or dream, in which there is more fantasy than prospects corresponding to opportunities, but a realistic scenario with a high probability of successful materialization. As a result of the operation of its AWS unit, Amazon has become one of the largest players in the global technology sector.

The growth of the company’s market capitalization is largely related to the process of rapid development of artificial intelligence. The corresponding tendency has become a kind of impulse for raising the mentioned indicator. AWS is actively involved in the process of developing and scaling the use of artificial intelligence. For example, in April, the mentioned Amazon unit announced the universal availability of its digital assistants operating based on generative machine intelligence.

Last Wednesday, June 26, the securities of the e-commerce giant, which also managed to simultaneously become a giant in the technology sector, rose by 3.9%, reaching $193.61 per equity. Amazon’s market value has crossed a kind of historical financial milestone of $2 trillion.

Currently, in terms of market capitalization, the company is part of the elite club of business giants who have reached a high level of value. At the end of April, Alphabet Inc. passed the $2 trillion threshold. The market capitalization indicator of Nvidia Corp., Microsoft Corp., and Apple Inc. has exceeded $3 trillion. It is worth noting that all these record figures are in some way related to the so-called artificial intelligence boom. Currently, AI is what can be described as a global advanced technology. There is a widespread opinion among experts that artificial intelligence will become the main driving force of progress at the current stage of the development of human civilization. AI is actively integrated into various workflows and digital products, increasing efficiency and productivity. It is also widely believed that in the foreseeable future, artificial intelligence will surpass the human mind in terms of the abilities of understanding, comprehension, and analysis. One of the proponents of the specified point of view is SoftBank CEO Masayoshi Son. Against this background, it is obvious that companies involved in the development of artificial intelligence and the elaboration of digital products based on advanced technology will benefit significantly from their activities.

This week it became known that Amazon is designing its own chatbot based on artificial intelligence. The company expects this digital product to become a competitor to OpenAI’s ChatGPT. According to preliminary information, the chatbot from Amazon will provide text and graphical responses to user requests. This digital product will also be able to generate images.

Moreover, in June it became known that Amazon is investing $230 million in AWS credits in AI startups. The specified credits will provide early-stage companies specializing in the development of generative artificial intelligence with free access to computing power, various AI models, and infrastructure. But in this case, the mentioned firms should build their business using AWS.

After Amazon, which owns the best American delivery service, among other things, released an earnings report for the first quarter of the current year, its shares fell in value. At the same time, the subsequent growth in AWS sales volumes allowed for the recovery of losses in value. In June, the business giant’s securities were on the trajectory of high-intensity rising. This dynamic has helped Amazon recover losses from the end of May. Since the beginning of the current year, the value of the company’s shares has increased by 27%.

It is worth noting that the present indicator of Amazon’s market capitalization is also largely determined by internal actions in the corporate space. The company’s management has shrunk costs and restructured the business. These actions were aimed at making better use of the advantages of artificial intelligence.

AWS as a technology unit and business structure is currently on an accelerated growth trajectory. Against the background of this tendency, an optimistic investor mood is forming regarding the prospects for the future activities of the mentioned unit Amazon.

Dan Romanoff, an analyst at Morningstar Investment Service, says that part of the good performance of the shares of the e-commerce giant and one of the largest players in the technology sector is that these securities were oversold in 2022.