Local revenue reaches record high.

 

Amazon’s Australian revenue reached a record-high of $7.7 billion last year, driven by a strong growth in its Prime membership subscription business.

 

Revenues from Amazon’s e-commerce business rose more than 22 per cent to $3.8 billion in the 12 months to December 31, with revenue from third-party marketplace sellers increasing by 48 per cent to with $839.5 million.

 

Amazon’s  Prime subscription business reported revenues of $480.4 million, a 39 per cent increase year-on-year. 

 

Prime membership gives users access benefits such as same-day delivery of its e-commerce products and to streaming of its video content.

 

According to a report in the Australian Financial Review, the company plans to open a new mega warehouse in Sydney in 2026 which will allow it to expand into “big box” retailing, offering furniture and large electrical items, competing more directly with consumer electronics retailers.

 

In recent months, Amazon has had to compete with ultra-cheap e-commerce platforms Temu and Shein.

 

Globally, Amazon spent around $41.78 billion in capital expenditures in the last three months of 2024, the majority of which went toward AI-related projects within Amazon Web Services (AWS).