The chart uses the US investment-grade corporate bond index. Amazon and Oracle have approximately $121 billion and $117 billion in outstanding bonds within the index, respectively, ranking fifth and sixth, making them the two largest non-financial issuers. It's important to note that this is not the company's total debt; Amazon's data also includes $25 billion in new bonds issued in July.
AI is indeed changing the bond market structure.
In the past, tech giants primarily relied on cash flow for investment. Now, data center construction is outpacing internal capital accumulation, leading to continuous bond issuance. The five largest cloud vendors will issue approximately $121 billion in bonds in 2025, and nearly $194 billion as of early July 2026.
This large amount of long-term financing will increase the supply of investment-grade bonds and duration.
However, banks still occupy the top four positions, and financial institutions still account for six of the top ten issuers, although the bond market is not yet dominated by tech companies. However, AI investment is gradually shifting from shareholder funds to debt financing. The next focus of the bond market will shift from the AI growth narrative to whether related revenue can cover interest, depreciation, and long-term lease costs.
