Amazon isn’t just buying generators… it’s also getting an option on Generac
Amazon has signed a long-term agreement with Generac (GNRC) to supply backup power generators for its data centers, with initial deliveries expected to reach $2.4 billion during 2027 and 2028.
Even more notably: an Amazon subsidiary received the right to purchase up to 1.69 million Generac shares at $200.93 per share, representing nearly 3% of the company’s shares, with the vesting of most of the warrants tied to the volume of Amazon’s purchases.
The story here goes beyond Generac itself:
AI growth means larger data centers → higher electricity consumption → greater demand for power and backup solutions.
This shows how the AI boom has begun spreading from chip and computing companies to the energy infrastructure that makes operating these centers possible.$AMZN