Amazon has entered the British pound bond market for the first time, expanding the range of currencies it uses to finance its operations as technology companies raise record amounts of debt to fund artificial intelligence infrastructure.
The company’s sterling offering included four maturities, with preliminary pricing guidance ranging from about 70 basis points over UK government bonds for three-year notes to roughly 110 basis points over gilts for 19-year debt. Guidance for six-year bonds was around 90 basis points over gilts, while the 12-year tranche was indicated at approximately 105 basis points.
The bonds were expected to be priced later on Wednesday. Once completed, the transaction will add the pound to Amazon’s existing funding currencies, which include the euro and Swiss franc.
Hyperscalers turn to global debt markets
Amazon’s move follows Alphabet, which raised £5.5 billion through a five-part sterling bond sale in February. That transaction included a rare 100-year bond. Alphabet has also raised funds this year in Japanese yen, Canadian dollars and Australian dollars.
Big technology companies have issued more than $200 billion of debt in 2026 alone, according to LSEG data. That is more than twice the amount raised by the sector during all of 2025.
The borrowing wave reflects the substantial cost of expanding data centers and computing capacity for AI services. By issuing bonds in multiple currencies, the companies can access different investor pools and funding markets.
Investor demand remains a focus
Amazon’s latest transaction comes after the company raised $25 billion in July. That offering attracted weaker demand indicators than some of its earlier sales, raising questions about whether investors are becoming less willing to absorb the growing volume of debt issued by major technology companies.
The European Central Bank highlighted the broader trend in September, warning that heavy bond issuance by hyperscalers in euro-area markets could crowd out other borrowers and increase financing costs.
