Amazon's business-to-business (B2B) division, Amazon Business, has quietly become a significant growth engine for the e-commerce giant. The company announced Tuesday that the platform reached $60 billion in annualized sales during the second quarter of 2026, after adding 1.8 million new customers in the first half of the year.
Annualized sales represent the current quarterly sales rate projected over a full year, giving investors a sense of the unit's momentum. The $60 billion figure marks a substantial jump from the $35 billion Amazon Business reported in 2023, highlighting the rapid expansion of this side of Amazon's operations.
What Is Amazon Business?
Launched in the United States in 2015, Amazon Business is a separate shopping platform designed for companies, government agencies, schools, hospitals, and other organizations. Unlike the consumer-focused Amazon.com, this B2B marketplace offers features like multi-user purchasing accounts, approval workflows, tax-exempt purchasing, and integration with procurement systems.
The platform helps businesses buy routine supplies—everything from office furniture and cleaning products to lab equipment and industrial tools. It now serves 11 million organizations worldwide, up from roughly 6 million in 2022. The pitch is straightforward: make it as easy for a hospital to order surgical gloves or a factory to buy safety goggles as it is for a consumer to order a book.
Why This Matters for Investors
Amazon Business is still a small piece of Amazon's overall revenue, which exceeded $570 billion in 2025. But its growth rate is outpacing the core retail business. The B2B market is enormous—global spending on business supplies and services runs into the trillions of dollars annually—and Amazon is capturing a growing share by digitizing a process that has long been fragmented and paper-heavy.
For investors, the unit's trajectory signals that Amazon's infrastructure and logistics network can be leveraged beyond consumer e-commerce. The same warehouses, delivery vans, and cloud computing backbone that power Amazon.com also support Amazon Business, meaning each new B2B customer adds incremental revenue without requiring massive new capital spending.
The customer additions in the first half of 2026—1.8 million new organizations—suggest the platform is gaining traction across a wide range of industries. This diversification reduces Amazon's reliance on any single customer segment and provides a more stable revenue base.
Broader Market Context
Amazon Business competes with traditional office supply companies like Staples and industrial distributors like W.W. Grainger and Fastenal. But its advantage lies in the vast selection and convenience of the Amazon ecosystem. The B2B unit also benefits from Amazon's investments in artificial intelligence and machine learning, which help businesses find products faster and manage inventory more efficiently.
The growth comes as Amazon continues to invest heavily in its logistics network and cloud computing arm, Amazon Web Services (AWS). While AWS remains the company's primary profit driver, Amazon Business is becoming a meaningful contributor to overall revenue growth.
In a separate development, Microsoft and Mistral AI struck a multibillion-dollar deal for sovereign AI in Europe, underscoring the broader trend of tech companies expanding into enterprise and government markets.
What to Watch Next
Investors will be watching for updates on Amazon Business's profitability. While the unit generates significant revenue, its margins are likely lower than AWS's but potentially higher than Amazon's retail business, given the larger order sizes and recurring nature of B2B purchases.
Amazon is expected to provide more details on the B2B unit's performance during its next quarterly earnings call. Analysts will also look for signs of international expansion, as Amazon Business is currently strongest in North America and Europe but has room to grow in Asia and Latin America.
The company's ability to maintain this growth trajectory will depend on how well it can serve increasingly complex procurement needs, such as those of large government agencies and multinational corporations. For everyday investors, Amazon Business is a reminder that even the world's largest e-commerce company can still find new ways to grow—often in places that don't make headlines.
