Home Platforms Amazon Crushes Earnings And Reaches Almost $20 Billion In Q2 Ad Revenue

Amazon Crushes Earnings And Reaches Almost $20 Billion In Q2 Ad Revenue

SHARE:

Amazon’s advertising businesses earned a total of $19.8 billion in Q2, the company reported in its quarterly earnings on Thursday. That’s up from $15.7 billion in Q2 2025 and good for a 26% year-over-year growth rate.

While those revenue numbers would be reason to celebrate for any other advertising business, they barely registered for Amazon. It feels like Amazon’s ad revenue growth has happened meteorically in the past decade or so, but consider that AWS’ AI product solutions alone earned $25 billion in Q3 and are still growing at a triple-digit percentage.

Like other Big Tech giants, Amazon’s earnings report has grown beyond ads as a topic in and of themselves. Aside from citing the ad revenue growth in the opening prepared remarks, advertising hardly came up, and only ever as an example of Amazon or AWS’ prowess in AI.

Another reason Amazon’s earnings particularly resembled Alphabet’s last week was that they each shared an eyebrow-raising jump in net income with similar root causes. For Amazon, net income grew from $18.2 billion in Q2 2025 to $62.6 billion in the past quarter. Of that $62.6 billion, however, $53.4 billion consisted of “non-operating pre-tax other income” related to Amazon’s ownership stake in Anthropic.

Alphabet’s profit jumped from $28.2 billion in Q2 last year to $112 billion during the same period this year. The jump was thanks to its early $900 million investment in SpaceX bearing fruit in its recent IPO.

But the most important similarity across the earnings reports of the world’s biggest ad platforms could be framed as a question: “Don’t you remember you do ads?”

Amazon does have an excuse. It doesn’t just do ads. Which is also how Amazon could add $250 billion in market cap overnight after its optimistic earnings. That’s many times more than the combined market cap of every third-party programmatic company across any major stock exchange.

But the only occasion when Amazon’s leadership cited any of its media properties or any advertising wins that weren’t expressions of AI tech was in the opening remarks. CEO Andy Jassy noted that Amazon had introduced 30 new advertisers to the NBA in its first year carrying games and have sold out streaming ad sponsorships for other sports leagues.

Ads were cited as an example of the conversion rate of Amazon’s agentic shopping products (48% more likely to convert on traffic via Sponsored Prompts). The Ads Agent product was mentioned as a prime example (pardon) of AI time benefits, since it ostensibly reduces ad campaign setup from an hours-long task to mere minutes.

Not long after Jassy became CEO about five years ago, his first earnings calls at the helm featured fun ad tech benchmark moments, such as “Amazon’s CEO awkwardly using the words ‘programmatic’ or ‘DSP’ for the first time,” like hearing Senators talk about header bidding.

Those quarterly reports seem far, far away.

Nowadays, the biggest ad platform flex from the biggest ad companies is to pretend one hardly has an ad business at all.

Tagged in:

Must Read

Why Agencies Think They Shouldn’t Own Agentic AI Tools Or The Data Used To Build Them

Agencies are differentiating their tech stacks by building custom agentic AI tools for their clients. And they’re rethinking owning those AI tools – particularly since licensing them creates new revenue streams.

Programmatic IO: Insurers Are Building Ad Tech’s AI Accountability Layer

Agencies and marketers discussed the future of AI governance at AdExchanger’s Programmatic IO NYC this week. The main takeaway? Expect insurers to play an increasingly important role in managing AI compliance.

Apple’s Latest Operating System Blocks The Trade Desk From Serving Ads On Safari

The Trade Desk is unable to serve ads to the Safari browser for Apple device owners that have downloaded iOS 27. Apple has been investigating the issue since last week.

Privacy! Commerce! Connected TV! Read all about it. Subscribe to AdExchanger Newsletters

Who Will Stand Up For The Open Web?

The open web is done, stick a fork in it. Banner blindness is near universal, search traffic has run dry and publishers are struggling for oxygen. But what if that’s … not true?

A comic showing lab techs as stand-ins for legislators experimenting with provisions for US state privacy laws, including restrictions on collecting sensitive data.

What Publishers Don't Know About New Jersey’s Data Broker Law Could Cost Them

Attention, publishers: Although you might not think of yourself as a data broker, in the great state of New Jersey, that’s not really your call anymore.

Predict Bowl Icon. Magician Element, Forecasting Symbol – Vector.

Why This Marketing Measurement Company Just Open-Sourced Its Forecasting Engine

MMM can tell marketers what worked, but Lifesight’s open-sourced forecasting tool aims to tell them what to do next.