Amazon taps sterling bond market for first time amid AI spending

Amazon has launched its first bond sale in sterling as other big tech firms tap into Britain’s debt market for new funding to pay for heavy investment in artificial intelligence infrastructure.

The company started marketing bonds in four maturities: three, six, 12 and 19 years, three banks managing the transaction said. Initial price indications were from around 70 basis points over comparable British government bonds for the three-year notes to around 110 basis points for the 19-year bonds.

The banks said the deal is expected to price later Wednesday. Amazon hasn’t said how much money it hopes to raise.

Amazon is diversifying its borrowing beyond the US dollar with the sterling offering. The company has already accessed the euro and Swiss franc bond markets and the technology industry has giant funding needs related to the growth of AI and data centres.

According to LSEG data, hyperscalers have issued more than 200 billion dollars in debt this year, more than double the amount raised in 2025.

Amazon’s move follows Alphabet’s raising £5.5 billion in a five-part sterling bond sale in February. The rise in borrowing by technology companies has also sparked concerns about investor appetite and the potential for increased financing costs.