Amazon Business reached $60 billion in annualized gross sales on July 21, 2026, while serving more than 11 million organizations. The milestone shows how artificial intelligence, supplier consolidation and digital procurement are changing how companies, schools and public institutions purchase essential supplies.
Editorial Note
This article is provided for general educational and informational purposes and should not be interpreted as financial, investment, legal, procurement or business advice. It is based on publicly available company announcements and other sources available as of the publication date. Company performance, customer figures, product features and future plans may change over time.
The sales, savings and customer figures discussed in this article were reported by Amazon and have not been independently audited by New To Education. Annualized gross sales are not the same as Amazon’s recognized annual revenue or profit. They represent a yearly estimate based on the business’s sales pace during the referenced period.
New To Education is not affiliated with, sponsored by or endorsed by Amazon. Readers and organizations considering procurement technology should evaluate pricing, security, competition, supplier diversity, contractual terms and their own operational requirements before selecting a provider.
Amazon announced an important business milestone on July 21, 2026: Amazon Business reached $60 billion in annualized gross sales during the second quarter and now serves more than 11 million organizations worldwide.
The announcement matters because Amazon is no longer influencing only how individuals shop at home. Its technology, logistics network and artificial-intelligence tools are increasingly shaping how companies, schools, hospitals, hotels, factories and public institutions purchase the materials they need to operate.
Amazon Business reported that more than 1.8 million organizations joined the platform during the first half of 2026. Its customers include hundreds of thousands of small businesses and 97 of the Fortune 100 companies.
This growth points to a larger transformation in procurement. Organizations are moving away from fragmented purchasing systems, paper approvals and numerous separate supplier accounts. They increasingly expect workplace buying to be fast, searchable and automated, much like consumer e-commerce.
That convenience can save time and money. It can also create new concerns about competition, supplier dependence, data, oversight and the growing influence of a single platform over organizational spending.
Amazon Is Now the Largest Company on the Fortune 500
The announcement carries additional weight because Amazon took the No. 1 position on the 2026 Fortune 500, ending Walmart’s 13-year run at the top.
Fortune ranked Amazon first with approximately $716.9 billion in revenue, narrowly ahead of Walmart. The ranking reflects Amazon’s enormous reach across retail, cloud computing, entertainment, logistics, advertising, healthcare and business services.
Amazon Business is one part of that larger structure, but its $60 billion annualized sales pace would make it a substantial business even if it operated independently.
The division began in the United States in 2015. It now operates across 11 countries, including the United States, Japan, the United Kingdom, Germany, India, Canada and Australia.
Its growth demonstrates how Amazon is using technology and infrastructure originally developed for consumer shopping to pursue a much larger institutional market.
What $60 Billion in Annualized Gross Sales Means
Amazon’s announcement refers to annualized gross sales rather than annual revenue.
Annualization takes the sales pace from a particular period and estimates what the total could look like if that pace continued for a full year. It is useful for showing scale and momentum, but it should not be mistaken for a completed year of audited sales.
Gross sales also do not tell readers how much profit Amazon Business generates or how much revenue Amazon ultimately recognizes after accounting for third-party sellers and other arrangements.
Even with those distinctions, the number is significant.
A $60 billion annualized sales pace shows that digital business procurement has moved far beyond office supplies. Organizations are using platforms such as Amazon Business to obtain technology, cleaning products, furniture, food, repair tools, laboratory equipment and other operational necessities.
Amazon said the selection available through the platform increased by nearly 30 percent globally over the past year.
Businesses Want Consumer-Like Convenience at Work
Many employees can order a household item online in less than a minute. Workplace purchasing is often far more complicated.
An employee may need to identify an approved supplier, request a quote, obtain permission, submit paperwork and wait for another department to place the order. Organizations use these controls to prevent waste and fraud, but slow systems can also consume staff time.
Amazon Business is attempting to combine the simplicity of online shopping with the oversight organizations require.
Its services include approval workflows, multi-user accounts, purchasing-system integrations, tax-exemption support, spending controls and business-specific pricing.
This reflects a broader change in workplace expectations. Employees increasingly expect company systems to provide the same speed and usability they experience with consumer technology.
For employers, that creates pressure to modernize administrative functions that workers may view as unnecessarily slow.
Artificial Intelligence Is Entering Procurement
One of the most important parts of Amazon’s July 21 announcement involved its use of artificial intelligence.
Amazon Business has introduced AI-powered tools intended to help organizations identify savings, answer account questions and detect unusual purchasing patterns.
Amazon Business Assistant can respond to questions and offer purchasing suggestions based on prior activity. Savings Insights analyzes spending and recommends opportunities such as quantity discounts or repeat-order options. Spend Anomaly Monitoring alerts organizations when a purchase appears unusual.
These features show that AI is moving into routine administrative work.
Procurement employees have traditionally spent time reviewing purchases, comparing suppliers, locating savings and investigating transactions. AI tools may allow them to complete some of those tasks more quickly.
The technology could help organizations find waste that would otherwise remain hidden. It may also influence which products buyers see, which suppliers receive attention and how purchasing decisions are prioritized.
That makes transparency important. Organizations should understand how automated recommendations are generated and retain human oversight over significant purchases.
Schools Are Part of Amazon Business’s Growth
Amazon specifically identified schools among the organizations using Amazon Business.
Educational institutions purchase enormous quantities of supplies each year. They may need classroom materials, technology, laboratory equipment, food-service products, cleaning supplies, furniture and maintenance tools.
A consolidated digital platform could make it easier for schools to compare prices, control spending and monitor purchases across multiple campuses.
Amazon reported that business-specific discounts saved organizations more than $1 billion worldwide in 2025, including savings for school districts purchasing classroom supplies.
However, school procurement involves more than convenience.
Public schools must comply with purchasing laws, bidding requirements, local policies, grant restrictions and public-accountability standards. A product being available online does not automatically mean a district can legally purchase it without further review.
Schools also need to consider student-data protection, cybersecurity, accessibility, compatibility and the long-term costs of technology products.
Amazon Business may simplify the transaction, but it does not eliminate the legal and professional responsibilities surrounding public spending.
Supplier Consolidation Can Save Time
Amazon said organizations want to buy more of what they need from fewer places.
Managing dozens of suppliers can be expensive. Every account may require separate invoices, payments, contracts, passwords and customer-service relationships.
Consolidating purchasing through one platform may reduce administrative work and give managers a clearer view of total spending.
It can also help organizations create preferred-product lists and direct employees toward approved purchases.
For smaller businesses, this may be especially valuable. A company without a large procurement department can use digital tools to perform functions that once required additional staff.
Yet consolidation creates its own risk. When an organization becomes heavily dependent on one platform, price changes, account problems, outages or policy changes can disrupt operations.
Efficiency and resilience do not always point in the same direction.
What This Means for Small Businesses
Amazon Business says hundreds of thousands of small businesses use its platform as customers. Millions of third-party sellers also help supply the products available through the service.
This creates both opportunities and pressure for smaller companies.
A seller may gain access to organizational buyers that would have been difficult to reach independently. A small manufacturer or distributor could potentially sell products to schools, hospitals, hotels and large corporations through one marketplace.
At the same time, small suppliers must compete for visibility against larger companies and other marketplace sellers. They may also face platform fees, pricing pressure and limited control over the customer relationship.
Businesses selling through large marketplaces should understand the tradeoff. Platforms can provide traffic and infrastructure, but they can also make a company dependent on search rankings, rules and systems it does not control.
The strongest strategy may involve using marketplaces for reach while continuing to develop a direct website, customer list and recognizable independent brand.
Amazon Is Expanding Business-Specific Delivery
Amazon Business reported making more than half a billion deliveries worldwide during the previous year.
The company is now deploying dedicated business-delivery trucks in 13 U.S. states. These vehicles are designed for locations such as loading docks, university campuses, offices and mailrooms.
Business deliveries can differ significantly from household deliveries. Organizations may need pallets, scheduled windows, bulk shipments and consolidated drop-offs.
Amazon’s investment shows that business procurement is not merely a website feature. It requires physical infrastructure tailored to institutional customers.
The company is combining ordering technology, warehouses, sellers and specialized delivery fleets into a more complete procurement system.
That integration gives Amazon a powerful advantage. Competitors may be able to match one part of the service, but reproducing the entire network is far more difficult.
Prime Business Is Becoming a Broader Service Package
Amazon also continues to expand Prime Business.
The program includes shipping benefits, but Amazon is increasingly adding services connected to cybersecurity, accounting, payroll and artificial intelligence.
The company reported that Prime Business members saved more than $880 million in shipping fees worldwide during 2025. Amazon estimates that its expanded benefits can save some small and medium-sized businesses nearly $1,100 per year.
The direction is clear: Amazon wants Prime Business to become more than a delivery subscription.
By combining purchasing, logistics and third-party business tools, Amazon can make its membership increasingly difficult for organizations to replace.
This strategy resembles the broader consumer Prime model. Shipping may bring customers into the membership, but the growing bundle of benefits encourages them to remain.
The Convenience Comes With Competition Questions
Amazon Business’s growth will likely intensify debate about market concentration.
Local office-supply companies, distributors and specialty vendors may find it difficult to compete with Amazon’s selection, delivery speed and technology.
When schools, corporations or government offices consolidate spending on a large platform, smaller local suppliers can lose business even when their products or services may provide local economic value.
Public institutions sometimes use supplier-diversity programs or local-purchasing goals to support small, minority-owned, women-owned or veteran-owned businesses.
A centralized marketplace must be managed carefully if organizations want to preserve those priorities.
Purchasing officials should examine who is actually supplying the product, not only which platform processes the transaction.
Low prices can benefit taxpayers and organizations. Procurement policies may also seek competition, resilience and broader community impact.
Those goals must be balanced rather than reduced to a single checkout price.
Data Gives Amazon Another Advantage
Every business purchase generates information.
Amazon can observe what organizations buy, when they buy it, how frequently they reorder and which alternatives they consider. At scale, that data can reveal patterns across industries and locations.
The information can help Amazon improve recommendations, anticipate demand and develop additional services.
It also gives the company an advantage over suppliers that see only their own limited customer activity.
Organizations should understand what purchasing data is collected, how it is protected and how it may be used. This is particularly important for public agencies, schools, healthcare organizations and other institutions handling sensitive operations.
Procurement data may not appear as sensitive as medical or student records, but purchasing patterns can reveal information about an organization’s priorities, equipment and internal activity.
The Workforce Will Need New Procurement Skills
Automation does not necessarily eliminate procurement work. It changes what procurement professionals are expected to do.
Employees may spend less time processing repetitive orders and more time reviewing contracts, managing suppliers, interpreting data and monitoring automated systems.
They will need to understand AI recommendations without accepting them blindly.
Skills involving negotiation, ethics, cybersecurity, data analysis and strategic planning may become more important.
This provides a useful lesson for students and workers. Administrative careers are not simply disappearing. Many are becoming more technical and analytical.
People who combine business knowledge with digital literacy will be better positioned to manage the systems that increasingly influence organizational decisions.
What Entrepreneurs Can Learn From Amazon Business
Amazon Business offers several lessons for smaller companies.
The first is that convenience can be a powerful competitive advantage. Customers often remain with a provider that saves them time, even when another company offers a similar product.
The second is that business customers need different tools from individual consumers. They may require approvals, invoicing, user permissions and reporting.
The third is that customer problems can lead to additional services. Amazon began with purchasing and delivery but continues expanding into analytics, AI, cybersecurity and operational tools.
The fourth lesson is that scale creates responsibility. A company serving millions of organizations must manage reliability, security, fair competition and customer trust.
Small businesses do not need Amazon’s resources to apply these ideas. They can still simplify ordering, educate customers, improve support and design services around the way their clients actually work.
How New To Education Supports Businesses and Organizations
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Key Takeaways
Amazon Business reached $60 billion in annualized gross sales during the second quarter of 2026 and now serves more than 11 million organizations worldwide. More than 1.8 million organizations joined during the first half of the year.
The platform’s growth shows that workplace procurement is moving toward centralized digital systems with consumer-style convenience, organizational spending controls and AI-assisted decision-making.
Schools and public institutions may benefit from simplified purchasing and greater spending visibility, but they must still comply with bidding rules, public-procurement laws and accountability requirements.
Small suppliers may gain access to large organizational customers through Amazon’s marketplace. They also face stronger competition and the risk of becoming dependent on a platform they do not control.
Amazon’s scale is central to the story. As the No. 1 company on the 2026 Fortune 500, its approach to AI, logistics and institutional purchasing could influence procurement practices throughout the economy.
Frequently Asked Questions
What did Amazon announce on July 21, 2026?
Amazon announced that Amazon Business had reached $60 billion in annualized gross sales during the second quarter and was serving more than 11 million organizations globally.
Is $60 billion the same as Amazon Business’s annual revenue?
No. The figure represents annualized gross sales based on the sales pace reported during the quarter. It should not be treated as completed annual revenue or profit.
Who uses Amazon Business?
Its customers include small businesses, schools, hospitals, manufacturers, hotels, nonprofit organizations and major corporations. Amazon says 97 of the Fortune 100 companies use the service.
How is Amazon Business using artificial intelligence?
Amazon has introduced AI-powered features that answer account questions, identify savings opportunities and alert organizations to unusual purchasing activity.
Why does this matter for schools?
Schools purchase large volumes of classroom, technology, laboratory and operational supplies. Digital procurement may simplify purchasing, but public schools must still follow applicable bidding, contracting and financial-accountability requirements.
Is Amazon the largest Fortune 500 company?
Yes. Amazon took the No. 1 position on the 2026 Fortune 500, ending Walmart’s 13-year run at the top.
Final Thoughts
Amazon Business reaching a $60 billion annualized sales pace is more than a corporate milestone.
It is evidence that the systems behind workplace purchasing are changing.
Organizations increasingly expect procurement platforms to provide fast delivery, broad selection, spending controls, artificial-intelligence assistance and clear reporting in one place.
Amazon is well positioned to benefit because it already controls much of the technology and logistics infrastructure needed to make that experience possible.
The same scale that creates convenience can also concentrate influence.
Schools, companies and public institutions should evaluate savings alongside supplier competition, cybersecurity, procurement law, local economic impact and long-term dependence.
Amazon Business may help organizations purchase supplies more efficiently. The larger question is how much of the modern workplace will eventually operate through a small number of powerful digital platforms.
That conversation is only beginning.
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Sources
Amazon — Amazon Business Reaches $60 Billion in Annualized Gross Sales, Serving Over 11 Million Organizations Worldwide
https://press.aboutamazon.com/2026/7/amazon-business-reaches-60-billion-in-annualized-gross-sales-serving-over-11-million-organizations-worldwide
Fortune — 2026 Fortune 500 Explorer
https://fortune.com/ranking/fortune500/2026/explore/
Amazon Business
https://business.amazon.com/
