Amazon Overtakes Walmart to Become World’s Largest Company by Revenue
NEW YORK — In a historic milestone reshaping the global retail landscape, Amazon.com Inc. has overtaken Walmart Inc. to become the world’s largest company by annual revenue, corporate filings and industry analysts confirmed this week.
For the fiscal year ending Dec. 31, 2025, Amazon reported revenue of approximately $716.9 billion, narrowly surpassing Walmart’s $713.2 billion in sales for the 12 months ending Jan. 31, 2026. The achievement marks the first time Amazon has eclipsed its long‑time rival in total revenue — ending Walmart’s 13‑year run at the top of global revenue rankings.
A Shift in Retail’s Power Balance
Walmart’s position as the world’s biggest company by revenue had been virtually unchallenged for more than a decade, rooted in its vast network of over 10,000 physical stores worldwide and its dominance in traditional retail. But Amazon’s rapid growth, fueled by its diversified business model, has steadily closed the gap.
Amazon’s success stems from a broader revenue mix than Walmart’s primarily retail‑based model. In addition to e‑commerce sales, Amazon generates significant income from cloud computing through Amazon Web Services (AWS), advertising, third‑party seller services and subscription products like Prime. Last year, AWS alone contributed tens of billions in sales, giving Amazon an edge that traditional retailers have struggled to replicate.
Analysts note that without AWS and other non‑retail businesses, Amazon’s annual revenue would still lag behind Walmart’s. But the growth of high‑margin segments — including cloud and digital advertising — has broadened Amazon’s revenue base and helped propel the company past its larger rival.
Strategic Investments and Future Prospects
Amazon’s ascent reflects strategic investments in technology and infrastructure. In 2026 the company announced plans to spend roughly $200 billion on capital expenditures, including data centers to support artificial intelligence capabilities and expanded logistics networks. While the announcement spooked some investors, it underscores Amazon’s long‑term focus beyond retail.
Despite achieving the revenue milestone, Amazon’s stock performance has been mixed this year, with shares experiencing volatility as markets digest the company’s ambitious spending plans. Still, many investors remain bullish on the company’s prospects, citing growth potential in cloud computing, global e‑commerce and services tied to Prime membership.
Walmart’s Continued Strength
Walmart, while losing the revenue crown, remains a formidable force in global retail. Its extensive physical footprint and competitive pricing strategy helped the company deliver solid quarterly results, including a strong holiday season marked by robust comparable sales and gains in online sales. Walmart’s e‑commerce revenue grew significantly, and the company maintained profitability across core divisions.
Walmart’s leadership has also pursued technological innovations, including partnerships with AI platforms and enhanced digital services, to better compete in the evolving retail landscape. Analysts say these efforts position Walmart to remain competitive even as Amazon expands its reach.
Symbolic, But Significant
Industry experts describe Amazon’s overtaking of Walmart as both symbolic and substantive in demonstrating how consumer behavior and business models are shifting. Whereas Walmart’s revenue lead was once synonymous with retail dominance, today’s figures reflect the rising importance of digital services, cloud technology and integrated e‑commerce platforms.
“This milestone doesn’t just reflect sales — it reflects a transformation in how consumers shop, how companies compete and how technology drives revenue,” said one industry analyst. “Amazon is no longer just a retailer. It’s a multifaceted digital powerhouse.”
While the revenue figures crown Amazon at the top of global earnings, the broader competitive battle between the two companies remains intense. Both continue to invest heavily in innovation, supply chain capabilities and customer experience as they vie for market share in an increasingly digital world.
