Amazon.com (AMZN) 10-Q30 Oct 202020 Q3 Quarterly reportFinancial data

Company Profile

Cover

Cover - shares	9 Months Ended
Cover - shares	Sep. 30, 2020	Oct. 21, 2020
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2020
Document Transition Report	false
Entity File Number	000-22513
Entity Registrant Name	AMAZON.COM, INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	91-1646860
Entity Address, Address Line One	410 Terry Avenue North
Entity Address, City or Town	Seattle,
Entity Address, State or Province	WA
Entity Address, Postal Zip Code	98109-5210
City Area Code	206
Local Phone Number	266-1000
Title of 12(b) Security	Common Stock, par value $.01 per share
Trading Symbol	AMZN
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		501,751,183
Amendment Flag	false
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q3
Current Fiscal Year End Date	--12-31
Entity Central Index Key	0001018724

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Millions	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Statement of Cash Flows [Abstract]
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH, BEGINNING OF PERIOD	$ 37,842	$ 22,965	$ 36,410	$ 32,173	$ 23,554	$ 21,032
OPERATING ACTIVITIES:
Net income	6,331	2,134	14,109	8,320	17,377	11,347
Adjustments to reconcile net income to net cash from operating activities:
Depreciation and amortization of property and equipment and capitalized content costs, operating lease assets, and other	6,523	5,563	17,633	15,619	23,803	19,881
Stock-based compensation	2,288	1,779	6,646	5,024	8,486	6,441
Other operating expense (income), net	67	47	416	114	466	186
Other expense (income), net	(1,051)	388	(1,255)	246	(1,749)	443
Deferred income taxes	295	92	1,082	612	1,267	784
Changes in operating assets and liabilities:
Inventories	(3,899)	(381)	(3,178)	(1,762)	(4,694)	(3,112)
Accounts receivable, net and other	(2,016)	(1,181)	(3,608)	(3,776)	(7,515)	(5,172)
Accounts payable	3,658	226	4,231	(2,490)	14,914	4,393
Accrued expenses and other	(310)	(722)	(1,375)	(4,277)	1,520	(1,612)
Unearned revenue	78	(53)	932	1,225	1,417	1,753
Net cash provided by (used in) operating activities	11,964	7,892	35,633	18,855	55,292	35,332
INVESTING ACTIVITIES:
Purchases of property and equipment	(11,063)	(4,697)	(25,317)	(11,549)	(30,629)	(15,282)
Proceeds from property and equipment sales and incentives	1,255	1,312	3,467	2,800	4,838	3,414
Acquisitions, net of cash acquired, and other	(1,735)	(398)	(1,945)	(1,684)	(2,722)	(2,015)
Sales and maturities of marketable securities	13,135	7,251	32,899	15,056	40,525	16,994
Purchases of marketable securities	(17,468)	(8,542)	(51,678)	(25,368)	(58,122)	(27,428)
Net cash provided by (used in) investing activities	(15,876)	(5,074)	(42,574)	(20,745)	(46,110)	(24,317)
FINANCING ACTIVITIES:
Proceeds from short-term debt, and other	1,311	415	4,361	722	5,042	1,292
Repayments of short-term debt, and other	(1,349)	(341)	(3,886)	(704)	(4,701)	(1,129)
Proceeds from long-term debt	0	287	9,994	453	10,412	589
Repayments of long-term debt	(1,198)	(14)	(1,439)	(115)	(2,490)	(124)
Principal repayments of finance leases	(2,857)	(2,307)	(8,274)	(6,848)	(11,054)	(8,754)
Principal repayments of financing obligations	(12)	0	(44)	(3)	(68)	(129)
Net cash provided by (used in) financing activities	(4,105)	(1,960)	712	(6,495)	(2,859)	(8,255)
Foreign currency effect on cash, cash equivalents, and restricted cash	377	(269)	21	(234)	325	(238)
Net increase (decrease) in cash, cash equivalents, and restricted cash	(7,640)	589	(6,208)	(8,619)	6,648	2,522
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH, END OF PERIOD	$ 30,202	$ 23,554	$ 30,202	$ 23,554	$ 30,202	$ 23,554

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($) shares in Millions, $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Total net sales	$ 96,145	$ 69,981	$ 260,509	$ 193,086
Operating expenses:
Cost of sales	57,106	41,302	154,023	111,559
Fulfillment	14,705	10,167	40,043	28,040
Technology and content	10,976	9,200	30,691	26,191
Marketing	5,434	4,752	14,605	12,707
General and administrative	1,668	1,348	4,700	3,791
Other operating expense (income), net	62	55	421	136
Total operating expenses	89,951	66,824	244,483	182,424
Operating income	6,194	3,157	16,026	10,662
Interest income	118	224	455	621
Interest expense	(428)	(396)	(1,233)	(1,145)
Other income (expense), net	925	(353)	1,165	(215)
Total non-operating income (expense)	615	(525)	387	(739)
Income before income taxes	6,809	2,632	16,413	9,923
Provision for income taxes	(569)	(494)	(2,298)	(1,588)
Equity-method investment activity, net of tax	91	(4)	(6)	(15)
Net income	$ 6,331	$ 2,134	$ 14,109	$ 8,320
Basic earnings per share (in usd per share)	$ 12.63	$ 4.31	$ 28.24	$ 16.87
Diluted earnings per share (in usd per share)	$ 12.37	$ 4.23	$ 27.72	$ 16.53
Weighted-average shares used in computation of earnings per share:
Basic (in shares)	501	495	500	493
Diluted (in shares)	512	504	509	503
Product
Total net sales	$ 52,774	$ 39,726	$ 144,859	$ 109,866
Service
Total net sales	$ 43,371	$ 30,255	$ 115,650	$ 83,220

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Statement of Comprehensive Income [Abstract]
Net income	$ 6,331	$ 2,134	$ 14,109	$ 8,320
Net change in foreign currency translation adjustments:
Foreign currency translation adjustments, net of tax of $1, $(15), $(6) and $(2)	408	(368)	(260)	(369)
Reclassification adjustment for foreign currency translation included in “Other operating expense (income), net,” net of tax of $29, $0, $29 and $0	0	(108)	0	(108)
Net foreign currency translation adjustments	408	(476)	(260)	(477)
Net change in unrealized gains (losses) on available-for-sale debt securities:
Unrealized gains (losses), net of tax of $(2), $(10), $(13) and $(73)	35	9	239	85
Reclassification adjustment for losses (gains) included in “Other income (expense), net,” net of tax of $0, $5, $0 and $7	(17)	(2)	(22)	(2)
Net unrealized gains (losses) on available-for-sale debt securities	18	7	217	83
Other comprehensive income (loss)	426	(469)	(43)	(394)
Comprehensive income	$ 6,757	$ 1,665	$ 14,066	$ 7,926

Consolidated Statements of Co_2

Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Statement of Comprehensive Income [Abstract]
Foreign currency translation adjustments, tax	$ (15)	$ 1	$ (2)	$ (6)
Reclassification adjustment for foreign currency translation included in "Other operating expense (income) net, tax	0	29	0	29
Unrealized gains (losses), tax	(10)	(2)	(73)	(13)
Reclassification adjustment for losses (gains) included in “Other income (expense), net,” tax	$ 5	$ 0	$ 7	$ 0

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Millions	Sep. 30, 2020	Dec. 31, 2019
Current assets:
Cash and cash equivalents	$ 29,930	$ 36,092
Marketable securities	38,472	18,929
Inventories	23,735	20,497
Accounts receivable, net and other	20,832	20,816
Total current assets	112,969	96,334
Property and equipment, net	99,981	72,705
Operating leases	34,119	25,141
Goodwill	14,960	14,754
Other assets	20,150	16,314
Total assets	282,179	225,248
Current liabilities:
Accounts payable	58,334	47,183
Accrued expenses and other	34,327	32,439
Unearned revenue	9,251	8,190
Total current liabilities	101,912	87,812
Long-term lease liabilities	48,589	39,791
Long-term debt	32,929	23,414
Other long-term liabilities	15,974	12,171
Commitments and contingencies (Note 4)
Stockholders’ equity:
Preferred stock, $0.01 par value: Authorized shares - 500 Issued and outstanding shares - none	0	0
Common stock, $0.01 par value: Authorized shares - 5,000 Issued shares - 521 and 525 Outstanding shares - 498 and 502	5	5
Treasury stock, at cost	(1,837)	(1,837)
Additional paid-in capital	40,307	33,658
Accumulated other comprehensive income (loss)	(1,029)	(986)
Retained earnings	45,329	31,220
Total stockholders’ equity	82,775	62,060
Total liabilities and stockholders’ equity	$ 282,179	$ 225,248

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	Sep. 30, 2020	Dec. 31, 2019
Statement of Financial Position [Abstract]
Preferred stock, par value (in usd per share)	$ 0.01	$ 0.01
Preferred stock, authorized (in shares)	500,000,000	500,000,000
Preferred stock, issued (in shares)	0	0
Preferred stock, outstanding (in shares)	0	0
Common stock, par value (in usd per share)	$ 0.01	$ 0.01
Common stock, authorized (in shares)	5,000,000,000	5,000,000,000
Common stock, issued (in shares)	525,000,000	521,000,000
Common stock, outstanding (in shares)	502,000,000	498,000,000

Accounting Policies and Supplem

Accounting Policies and Supplemental Disclosures	9 Months Ended
Accounting Policies and Supplemental Disclosures	Sep. 30, 2020
Accounting Policies [Abstract]
Accounting Policies and Supplemental Disclosures	ACCOUNTING POLICIES AND SUPPLEMENTAL DISCLOSURES Unaudited Interim Financial Information We have prepared the accompanying consolidated financial statements pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”) for interim financial reporting. These consolidated financial statements are unaudited and, in our opinion, include all adjustments, consisting of normal recurring adjustments and accruals necessary for a fair presentation of our consolidated cash flows, operating results, and balance sheets for the periods presented. Operating results for the periods presented are not necessarily indicative of the results that may be expected for 2020 due to seasonal and other factors. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) have been omitted in accordance with the rules and regulations of the SEC. These consolidated financial statements should be read in conjunction with the audited consolidated financial statements and accompanying notes in Item 8 of Part II, “Financial Statements and Supplementary Data,” of our 2019 Annual Report on Form 10-K. Prior Period Reclassifications Certain prior period amounts have been reclassified to conform to the current period presentation. Proceeds from and repayments of short-term debt, and other were reclassified from proceeds from and repayments of long-term debt, and other on our consolidated statements of cash flows. Principles of Consolidation The consolidated financial statements include the accounts of Amazon.com, Inc. and its consolidated entities (collectively, the “Company”), consisting of its wholly-owned subsidiaries and those entities in which we have a variable interest and of which we are the primary beneficiary, including certain entities in India and certain entities that support our seller lending financing activities. Intercompany balances and transactions between consolidated entities are eliminated. Use of Estimates The preparation of financial statements in conformity with GAAP requires estimates and assumptions that affect the reported amounts of assets and liabilities, revenues and expenses, and related disclosures of contingent liabilities in the consolidated financial statements and accompanying notes. Estimates are used for, but not limited to, income taxes, useful lives of equipment, commitments and contingencies, valuation of acquired intangibles and goodwill, stock-based compensation forfeiture rates, vendor funding, inventory valuation, collectability of receivables, and valuation and impairment of investments. Given the global economic climate and additional or unforeseen effects from the COVID-19 pandemic, these estimates have become more challenging, and actual results could differ materially from these estimates. We review the useful lives of equipment on an ongoing basis, and effective January 1, 2020 we changed our estimate of the useful life for our servers from three Supplemental Cash Flow Information The following table shows supplemental cash flow information (in millions): Three Months Ended Nine Months Ended Twelve Months Ended 2019 2020 2019 2020 2019 2020 SUPPLEMENTAL CASH FLOW INFORMATION: Cash paid for interest on debt $ 287 $ 285 $ 720 $ 715 $ 842 $ 869 Cash paid for operating leases 872 1,159 2,420 3,275 2,420 4,215 Cash paid for interest on finance leases 167 155 481 484 585 650 Cash paid for interest on financing obligations 14 28 20 71 72 90 Cash paid for income taxes, net of refunds 241 502 692 1,293 863 1,481 Assets acquired under operating leases 2,299 6,115 5,393 11,870 5,393 14,346 Property and equipment acquired under finance leases 3,606 3,571 9,541 8,892 13,222 13,075 Property and equipment acquired under build-to-suit arrangements 390 366 1,109 1,228 2,252 1,480 Earnings per Share Basic earnings per share is calculated using our weighted-average outstanding common shares. Diluted earnings per share is calculated using our weighted-average outstanding common shares including the dilutive effect of stock awards as determined under the treasury stock method. In periods when we have a net loss, stock awards are excluded from our calculation of earnings per share as their inclusion would have an antidilutive effect. The following table shows the calculation of diluted shares (in millions): Three Months Ended Nine Months Ended 2019 2020 2019 2020 Shares used in computation of basic earnings per share 495 501 493 500 Total dilutive effect of outstanding stock awards 9 11 10 9 Shares used in computation of diluted earnings per share 504 512 503 509 Inventories Inventories, consisting of products available for sale, are primarily accounted for using the first-in, first-out method, and are valued at the lower of cost and net realizable value. This valuation requires us to make judgments, based on currently available information, about the likely method of disposition, such as through sales to individual customers, returns to product vendors, or liquidations, and expected recoverable values of each disposition category. The inventory valuation allowance, representing a write-down of inventory, was $1.6 billion and $1.9 billion as of December 31, 2019 and September 30, 2020. Accounts Receivable, Net and Other Included in “Accounts receivable, net and other” on our consolidated balance sheets are amounts primarily related to customers, vendors, and sellers. As of December 31, 2019 and September 30, 2020, customer receivables, net, were $12.6 billion and $13.1 billion, vendor receivables, net, were $4.2 billion and $3.3 billion, and seller receivables, net, were $863 million and $446 million. Seller receivables are amounts due from sellers related to our seller lending program, which provides funding to sellers primarily to procure inventory. We estimate losses on receivables based on expected losses, including our historical experience of actual losses. The allowance for doubtful accounts was $718 million and $968 million as of December 31, 2019 and September 30, 2020. Digital Video and Music Content The total capitalized costs of video, which is primarily released content, and music as of December 31, 2019 and September 30, 2020 were $5.8 billion and $6.3 billion. Total video and music expense was $1.9 billion and $2.8 billion in Q3 2019 and Q3 2020, and $5.5 billion and $8.0 billion for the nine months ended September 30, 2019 and 2020. Unearned Revenue Unearned revenue is recorded when payments are received or due in advance of performing our service obligations and is recognized over the service period. Unearned revenue primarily relates to prepayments of AWS services and Amazon Prime memberships. Our total unearned revenue as of December 31, 2019 was $10.2 billion, of which $7.1 billion was recognized as revenue during the nine months ended September 30, 2020. Included in “Other long-term liabilities” on our consolidated balance sheets was $2.0 billion and $1.9 billion of unearned revenue as of December 31, 2019 and September 30, 2020. Additionally, we have performance obligations, primarily related to AWS, associated with commitments in customer contracts for future services that have not yet been recognized in our consolidated financial statements. For contracts with original terms that exceed one year, those commitments not yet recognized were $44.8 billion as of September 30, 2020. The weighted average remaining life of our long-term contracts is 3.4 years. However, the amount and timing of revenue recognition is largely driven by customer usage, which can extend beyond the original contractual term.

Financial Instruments

Financial Instruments	9 Months Ended
Financial Instruments	Sep. 30, 2020
Investments, Debt and Equity Securities [Abstract]
Financial Instruments	FINANCIAL INSTRUMENTS Cash, Cash Equivalents, Restricted Cash, and Marketable Securities As of December 31, 2019 and September 30, 2020, our cash, cash equivalents, restricted cash, and marketable securities primarily consisted of cash, AAA-rated money market funds, U.S. and foreign government and agency securities, and other investment grade securities. Cash equivalents and marketable securities are recorded at fair value. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. To increase the comparability of fair value measures, the following hierarchy prioritizes the inputs to valuation methodologies used to measure fair value: Level 1 —Valuations based on quoted prices for identical assets and liabilities in active markets. Level 2 —Valuations based on observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data. Level 3 —Valuations based on unobservable inputs reflecting our own assumptions, consistent with reasonably available assumptions made by other market participants. These valuations require significant judgment. We measure the fair value of money market funds and certain marketable equity securities based on quoted prices in active markets for identical assets or liabilities. Other marketable securities were valued either based on recent trades of securities in inactive markets or based on quoted market prices of similar instruments and other significant inputs derived from or corroborated by observable market data. We did not hold significant amounts of cash, cash equivalents, restricted cash, or marketable securities categorized as Level 3 assets as of December 31, 2019 and September 30, 2020. The following table summarizes, by major security type, our cash, cash equivalents, restricted cash, and marketable securities that are measured at fair value on a recurring basis and are categorized using the fair value hierarchy (in millions): December 31, 2019 September 30, 2020 Total Cost or Gross Gross Total Cash $ 9,776 $ 9,553 $ — — $ 9,553 Level 1 securities: Money market funds 18,850 17,701 — — 17,701 Equity securities (1) 202 452 Level 2 securities: Foreign government and agency securities 4,794 10,270 1 — 10,271 U.S. government and agency securities 7,080 7,656 34 (3) 7,687 Corporate debt securities 11,881 18,849 276 (5) 19,120 Asset-backed securities 2,360 3,245 31 (5) 3,271 Other fixed income securities 394 500 8 — 508 Equity securities (1) 5 114 $ 55,342 $ 67,774 $ 350 $ (13) $ 68,677 Less: Restricted cash, cash equivalents, and marketable securities (2) (321) (275) Total cash, cash equivalents, and marketable securities $ 55,021 $ 68,402 ___________________ (1) The related unrealized gain (loss) recorded in “Other income (expense), net” was $(55) million and $150 million in Q3 2019 and Q3 2020, and $27 million and $351 million for the nine months ended September 30, 2019 and 2020. (2) We are required to pledge or otherwise restrict a portion of our cash, cash equivalents, and marketable securities as collateral for real estate leases, amounts due to third-party sellers in certain jurisdictions, debt, and standby and trade letters of credit. We classify cash, cash equivalents, and marketable securities with use restrictions of less than twelve months as “Accounts receivable, net and other” and of twelve months or longer as non-current “Other assets” on our consolidated balance sheets. See “Note 4 — Commitments and Contingencies.” The following table summarizes the remaining contractual maturities of our cash equivalents and marketable fixed income securities as of September 30, 2020 (in millions): Amortized Estimated Due within one year $ 38,791 $ 38,803 Due after one year through five years 16,106 16,400 Due after five years through ten years 753 758 Due after ten years 2,571 2,597 Total $ 58,221 $ 58,558 Actual maturities may differ from the contractual maturities because borrowers may have certain prepayment conditions. Equity Warrants and Non-Marketable Equity Investments We hold equity warrants giving us the right to acquire stock of other companies. As of December 31, 2019 and September 30, 2020, these warrants had a fair value of $669 million and $1.4 billion, and are recorded within “Other assets” on our consolidated balance sheets with gains and losses recognized in “Other income (expense), net” on our consolidated statements of operations. These warrants are primarily classified as Level 2 assets. As of December 31, 2019 and September 30, 2020, equity investments not accounted for under the equity-method and without readily determinable fair values, had a carrying value of $1.5 billion and $2.6 billion, and are recorded within “Other assets” on our consolidated balance sheets with adjustments recognized in “Other income (expense), net” on our consolidated statements of operations. Consolidated Statements of Cash Flows Reconciliation The following table provides a reconciliation of the amount of cash, cash equivalents, and restricted cash reported within the consolidated balance sheets to the total of the same such amounts shown in the consolidated statements of cash flows (in millions): December 31, 2019 September 30, 2020 Cash and cash equivalents $ 36,092 $ 29,930 Restricted cash included in accounts receivable, net and other 276 239 Restricted cash included in other assets 42 33 Total cash, cash equivalents, and restricted cash shown in the consolidated statements of cash flows $ 36,410 $ 30,202

Leases

Leases	9 Months Ended
Leases	Sep. 30, 2020
Leases [Abstract]
Leases	LEASES Gross assets acquired under finance leases, inclusive of those where title transfers at the end of the lease, are recorded in “Property and equipment, net” and were $57.4 billion and $64.9 billion as of December 31, 2019 and September 30, 2020. Accumulated amortization associated with finance leases was $30.0 billion and $34.2 billion as of December 31, 2019 and September 30, 2020. Lease cost recognized in our consolidated statements of operations is summarized as follows (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2019 2020 2019 2020 Operating lease cost $ 934 $ 1,334 $ 2,644 $ 3,551 Finance lease cost: Amortization of lease assets 2,609 2,200 7,319 6,123 Interest on lease liabilities 164 154 479 474 Finance lease cost 2,773 2,354 7,798 6,597 Variable lease cost 244 308 775 866 Total lease cost $ 3,951 $ 3,996 $ 11,217 $ 11,014 Other information about lease amounts recognized in our consolidated financial statements is summarized as follows: December 31, 2019 September 30, 2020 Weighted-average remaining lease term – operating leases 11.5 years 11.1 years Weighted-average remaining lease term – finance leases 5.5 years 6.1 years Weighted-average discount rate – operating leases 3.1 % 2.6 % Weighted-average discount rate – finance leases 2.7 % 2.3 % Our lease liabilities were as follows (in millions): December 31, 2019 Operating Leases Finance Leases Total Gross lease liabilities $ 31,963 $ 28,875 $ 60,838 Less: imputed interest (6,128) (1,896) (8,024) Present value of lease liabilities 25,835 26,979 52,814 Less: current portion of lease liabilities (3,139) (9,884) (13,023) Total long-term lease liabilities $ 22,696 $ 17,095 $ 39,791 September 30, 2020 Operating Leases Finance Leases Total Gross lease liabilities $ 42,014 $ 29,801 $ 71,815 Less: imputed interest (6,759) (2,051) (8,810) Present value of lease liabilities 35,255 27,750 63,005 Less: current portion of lease liabilities (4,156) (10,260) (14,416) Total long-term lease liabilities $ 31,099 $ 17,490 $ 48,589
Leases	LEASES Gross assets acquired under finance leases, inclusive of those where title transfers at the end of the lease, are recorded in “Property and equipment, net” and were $57.4 billion and $64.9 billion as of December 31, 2019 and September 30, 2020. Accumulated amortization associated with finance leases was $30.0 billion and $34.2 billion as of December 31, 2019 and September 30, 2020. Lease cost recognized in our consolidated statements of operations is summarized as follows (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2019 2020 2019 2020 Operating lease cost $ 934 $ 1,334 $ 2,644 $ 3,551 Finance lease cost: Amortization of lease assets 2,609 2,200 7,319 6,123 Interest on lease liabilities 164 154 479 474 Finance lease cost 2,773 2,354 7,798 6,597 Variable lease cost 244 308 775 866 Total lease cost $ 3,951 $ 3,996 $ 11,217 $ 11,014 Other information about lease amounts recognized in our consolidated financial statements is summarized as follows: December 31, 2019 September 30, 2020 Weighted-average remaining lease term – operating leases 11.5 years 11.1 years Weighted-average remaining lease term – finance leases 5.5 years 6.1 years Weighted-average discount rate – operating leases 3.1 % 2.6 % Weighted-average discount rate – finance leases 2.7 % 2.3 % Our lease liabilities were as follows (in millions): December 31, 2019 Operating Leases Finance Leases Total Gross lease liabilities $ 31,963 $ 28,875 $ 60,838 Less: imputed interest (6,128) (1,896) (8,024) Present value of lease liabilities 25,835 26,979 52,814 Less: current portion of lease liabilities (3,139) (9,884) (13,023) Total long-term lease liabilities $ 22,696 $ 17,095 $ 39,791 September 30, 2020 Operating Leases Finance Leases Total Gross lease liabilities $ 42,014 $ 29,801 $ 71,815 Less: imputed interest (6,759) (2,051) (8,810) Present value of lease liabilities 35,255 27,750 63,005 Less: current portion of lease liabilities (4,156) (10,260) (14,416) Total long-term lease liabilities $ 31,099 $ 17,490 $ 48,589

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
Commitments and Contingencies	Sep. 30, 2020
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	COMMITMENTS AND CONTINGENCIES Commitments We have entered into non-cancellable operating and finance leases and financing obligations for equipment and office, fulfillment, sortation, delivery, data center, physical store, and renewable energy facilities. The following summarizes our principal contractual commitments, excluding open orders for purchases that support normal operations and are generally cancellable, as of September 30, 2020 (in millions): Three Months Ended December 31, Year Ended December 31, 2020 2021 2022 2023 2024 Thereafter Total Long-term debt principal and interest $ 282 $ 2,188 $ 2,647 $ 3,271 $ 4,272 $ 38,738 $ 51,398 Operating lease liabilities 1,139 5,032 4,584 4,204 3,865 23,190 42,014 Finance lease liabilities, including interest 2,363 10,145 6,507 2,753 1,291 6,742 29,801 Financing obligations, including interest 48 211 214 217 220 3,694 4,604 Unconditional purchase obligations (1) 416 4,027 3,562 3,194 3,049 2,296 16,544 Other commitments (2) (3) 1,260 3,963 3,290 2,268 2,238 23,612 36,631 Total commitments $ 5,508 $ 25,566 $ 20,804 $ 15,907 $ 14,935 $ 98,272 $ 180,992 ___________________ (1) Includes unconditional purchase obligations related to certain products offered in our Whole Foods Market stores and long-term agreements to acquire and license digital media content that are not reflected on the consolidated balance sheets. For those digital media content agreements with variable terms, we do not estimate the total obligation beyond any minimum quantities and/or pricing as of the reporting date. Purchase obligations associated with renewal provisions solely at the option of the content provider are included to the extent such commitments are fixed or a minimum amount is specified. (2) Includes the estimated timing and amounts of payments for rent and tenant improvements associated with build-to-suit lease arrangements and lease arrangements prior to the lease commencement date, liabilities associated with digital media content agreements with initial terms greater than one year, and asset retirement obligations. (3) Excludes approximately $3.0 billion of accrued tax contingencies for which we cannot make a reasonably reliable estimate of the amount and period of payment, if any. Pledged Assets As of December 31, 2019 and September 30, 2020, we have pledged or otherwise restricted $994 million and $921 million of our cash, cash equivalents, and marketable securities, and certain property and equipment as collateral for real estate leases, amounts due to third-party sellers in certain jurisdictions, debt, and standby and trade letters of credit. Additionally, we have pledged our cash and seller receivables for debt related to our Credit Facility. See “Note 5 — Debt.” Other Contingencies We are subject to claims related to various indirect taxes (such as sales, value added, consumption, service, and similar taxes), including in jurisdictions in which we already collect and remit such taxes. If the relevant taxing authorities were successfully to pursue these claims, we could be subject to significant additional tax liabilities. For example, in June 2017, the State of South Carolina issued an assessment for uncollected sales and use taxes for the period from January 2016 to March 2016, including interest and penalties. South Carolina is alleging that we should have collected sales and use taxes on transactions by our third-party sellers. In September 2019, the South Carolina Administrative Law Court ruled in favor of the Department of Revenue and we have appealed the decision to the state Court of Appeals. We believe the assessment is without merit and intend to defend ourselves vigorously in this matter. If other tax authorities were successfully to seek additional adjustments of a similar nature, we could be subject to significant additional tax liabilities. Legal Proceedings The Company is involved from time to time in claims, proceedings, and litigation, including the matters described in Item 8 of Part II, “Financial Statements and Supplementary Data — Note 7 — Commitments and Contingencies — Legal Proceedings” of our 2019 Annual Report on Form 10-K and in Item 1 of Part I, “Financial Statements — Note 4 — Commitments and Contingencies — Legal Proceedings” of our Quarterly Reports on Form 10-Q for the periods ended March 31, 2020 and June 30, 2020. In addition, we are regularly subject to claims, litigation, and other proceedings, including potential regulatory proceedings, involving patent and other intellectual property matters, taxes, labor and employment, competition and antitrust, privacy and data protection, consumer protection, commercial disputes, goods and services offered by us and by third parties, and other matters. The outcomes of our legal proceedings and other contingencies are inherently unpredictable, subject to significant uncertainties, and could be material to our operating results and cash flows for a particular period. We evaluate, on a regular basis, developments in our legal proceedings and other contingencies that could affect the amount of liability, including amounts in excess of any previous accruals and reasonably possible losses disclosed, and make adjustments and changes to our accruals and disclosures as appropriate. For the matters we disclose that do not include an estimate of the amount of loss or range of losses, such an estimate is not possible or is immaterial, and we may be unable to estimate the possible loss or range of losses that could potentially result from the application of non-monetary remedies. Until the final resolution of such matters, if any of our estimates and assumptions change or prove to have been incorrect, we may experience losses in excess of the amounts recorded, which could have a material effect on our business, consolidated financial position, results of operations, or cash flows. See also “Note 7 — Income Taxes.”

Debt

Debt	9 Months Ended
Debt	Sep. 30, 2020
Debt Disclosure [Abstract]
Debt	DEBT As of September 30, 2020, we had $32.2 billion of unsecured senior notes outstanding (the “Notes”), including $10.0 billion issued in June 2020 for general corporate purposes. We also have other long-term debt and borrowings under our credit facility of $1.6 billion and $1.0 billion as of December 31, 2019 and September 30, 2020. Our total long-term debt obligations are as follows (in millions): Maturities (1) Stated Interest Rates Effective Interest Rates December 31, 2019 September 30, 2020 2012 Notes issuance of $3.0 billion 2022 2.50% 2.66% 1,250 1,250 2014 Notes issuance of $6.0 billion 2021 - 2044 3.30% - 4.95% 3.43% - 5.11% 5,000 5,000 2017 Notes issuance of $17.0 billion 2023 - 2057 2.40% - 5.20% 2.56% - 4.33% 17,000 16,000 2020 Notes issuance of $10.0 billion 2023 - 2060 0.40% - 2.70% 0.56% - 2.77% — 10,000 Credit Facility 740 413 Other long-term debt 830 625 Total face value of long-term debt 24,820 33,288 Unamortized discount and issuance costs, net (101) (204) Less current portion of long-term debt (1,305) (155) Long-term debt $ 23,414 $ 32,929 ___________________ (1) The weighted average remaining lives of the 2012, 2014, 2017, and 2020 Notes were 2.2, 12.1, 16.5, and 19.0 years as of September 30, 2020. The combined weighted average remaining life of the Notes was 16.0 years as of September 30, 2020. Interest on the Notes is payable semi-annually in arrears. We may redeem the Notes at any time in whole, or from time to time, in part at specified redemption prices. We are not subject to any financial covenants under the Notes. The estimated fair value of the Notes was approximately $26.2 billion and $37.3 billion as of December 31, 2019 and September 30, 2020, which is based on quoted prices for our debt as of those dates. In October 2016, we entered into a $500 million secured revolving credit facility with a lender that is secured by certain seller receivables, which we subsequently increased to $740 million and may from time to time increase in the future subject to lender approval (the “Credit Facility”). The Credit Facility is available until October 2022, bears interest at the London interbank offered rate (“LIBOR”) plus 1.40%, and has a commitment fee of 0.50% on the undrawn portion. There were $740 million and $413 million of borrowings outstanding under the Credit Facility as of December 31, 2019 and September 30, 2020, which had a weighted-average interest rate of 3.4% and 3.1%, respectively. As of December 31, 2019 and September 30, 2020, we have pledged $852 million and $475 million of our cash and seller receivables as collateral for debt related to our Credit Facility. The estimated fair value of the Credit Facility, which is based on Level 2 inputs, approximated its carrying value as of December 31, 2019 and September 30, 2020. Other long-term debt, including the current portion, had a weighted-average interest rate of 4.1% and 2.9% as of December 31, 2019 and September 30, 2020. We used the net proceeds from the issuance of this debt primarily to fund certain business operations. The estimated fair value of other long-term debt, which is based on Level 2 inputs, approximated its carrying value as of December 31, 2019 and September 30, 2020. In April 2018, we established a commercial paper program (the “Commercial Paper Program”) under which we may from time to time issue unsecured commercial paper up to a total of $7.0 billion at any time, with individual maturities that may vary but will not exceed 397 days from the date of issue. In June 2020, we increased the size of the Commercial Paper Program to $10.0 billion. There were no borrowings outstanding under the Commercial Paper Program as of December 31, 2019. There were $725 million of borrowings outstanding under the Commercial Paper Program as of September 30, 2020, which are included in “Accrued expenses and other” on our consolidated balance sheets and have a weighted average effective interest rate, including issuance costs, of 0.13%. We use the net proceeds from the issuance of commercial paper for general corporate purposes. In April 2018, in connection with our Commercial Paper Program, we amended and restated our unsecured revolving credit facility (the “Credit Agreement”) with a syndicate of lenders to increase our borrowing capacity thereunder to $7.0 billion. In June 2020, we further amended and restated the Credit Agreement to extend the term to June 2023, and it may be extended for up to three additional one-year terms if approved by the lenders. The interest rate applicable to outstanding balances under the amended and restated Credit Agreement is LIBOR plus 0.50%, with a commitment fee of 0.04% on the

Stockholders' Equity

Stockholders' Equity	9 Months Ended
Stockholders' Equity	Sep. 30, 2020
Equity [Abstract]
Stockholders' Equity	STOCKHOLDERS’ EQUITY Stock Repurchase Activity In February 2016, the Board of Directors authorized a program to repurchase up to $5.0 billion of our common stock, with no fixed expiration. There were no repurchases of common stock during the nine months ended September 30, 2019 or 2020. Stock Award Activity Common shares outstanding plus shares underlying outstanding stock awards totaled 512 million and 518 million as of December 31, 2019 and September 30, 2020. These totals include all vested and unvested stock awards outstanding, including those awards we estimate will be forfeited. Stock-based compensation expense is as follows (in millions): Three Months Ended Nine Months Ended 2019 2020 2019 2020 Cost of sales $ 39 $ 75 $ 106 $ 193 Fulfillment 301 316 895 993 Technology and content 966 1,267 2,719 3,649 Marketing 298 446 813 1,233 General and administrative 175 184 491 578 Total stock-based compensation expense $ 1,779 $ 2,288 $ 5,024 $ 6,646 The following table summarizes our restricted stock unit activity for the nine months ended September 30, 2020 (in millions): Number of Units Weighted-Average Outstanding as of December 31, 2019 14.3 $ 1,458 Units granted 7.1 2,281 Units vested (4.0) 1,168 Units forfeited (1.0) 1,571 Outstanding as of September 30, 2020 16.4 1,879 Scheduled vesting for outstanding restricted stock units as of September 30, 2020, is as follows (in millions): Three Months Ended December 31, Year Ended December 31, 2020 2021 2022 2023 2024 Thereafter Total Scheduled vesting—restricted stock units 1.8 5.7 5.4 2.4 0.9 0.2 16.4 As of September 30, 2020, there was 13.9 billion of net unrecognized compensation cost related to unvested stock-based compensation arrangements. This compensation is recognized on an accelerated basis with approximately half of the compensation expected to be expensed in the next twelve months, and has a remaining weighted-average recognition period of 1.2 years. The estimated forfeiture rate as of December 31, 2019 and September 30, 2020 was 27%. Changes in our estimates and assumptions relating to forfeitures may cause us to realize material changes in stock-based compensation expense in the future. Changes in Stockholders’ Equity The following table shows the changes in stockholders’ equity (in millions): Three Months Ended Nine Months Ended 2019 2020 2019 2020 Total beginning stockholders’ equity $ 53,061 $ 73,728 $ 43,549 $ 62,060 Beginning and ending common stock 5 5 5 5 Beginning and ending treasury stock (1,837) (1,837) (1,837) (1,837) Beginning additional paid-in capital 30,035 38,017 26,791 33,658 Stock-based compensation and issuance of employee benefit plan stock 1,782 2,290 5,026 6,649 Ending additional paid-in capital 31,817 40,307 31,817 40,307 Beginning accumulated other comprehensive income (loss) (960) (1,455) (1,035) (986) Other comprehensive income (loss) (469) 426 (394) (43) Ending accumulated other comprehensive income (loss) (1,429) (1,029) (1,429) (1,029) Beginning retained earnings 25,818 38,998 19,625 31,220 Cumulative effect of changes in accounting principles (1) — — 7 — Net income 2,134 6,331 8,320 14,109 Ending retained earnings 27,952 45,329 27,952 45,329 Total ending stockholders’ equity $ 56,508 $ 82,775 $ 56,508 $ 82,775 ___________________

Income Taxes

Income Taxes	9 Months Ended
Income Taxes	Sep. 30, 2020
Income Tax Disclosure [Abstract]
Income Taxes	INCOME TAXES Our tax provision or benefit from income taxes for interim periods is determined using an estimate of our annual effective tax rate, adjusted for discrete items, if any, that are taken into account in the relevant period. Each quarter we update our estimate of the annual effective tax rate, and if our estimated tax rate changes, we make a cumulative adjustment. Our quarterly tax provision, and our quarterly estimate of our annual effective tax rate, is subject to significant variation due to several factors, including variability in accurately predicting our pre-tax and taxable income and loss and the mix of jurisdictions to which they relate, intercompany transactions, the applicability of special tax regimes, changes in how we do business, acquisitions, investments, audit-related developments, changes in our stock price, changes in our deferred tax assets and liabilities and their valuation, foreign currency gains (losses), changes in statutes, regulations, case law, and administrative practices, principles, and interpretations related to tax, including changes to the global tax framework, competition, and other laws and accounting rules in various jurisdictions, and relative changes of expenses or losses for which tax benefits are not recognized. Our effective tax rate can be more or less volatile based on the amount of pre-tax income or loss. For example, the impact of discrete items and non-deductible expenses on our effective tax rate is greater when our pre-tax income is lower. In addition, we record valuation allowances against deferred tax assets when there is uncertainty about our ability to generate future income in relevant jurisdictions, and the effects of the COVID-19 pandemic on our business make estimates of future income more challenging. For 2020, we estimate that our effective tax rate will be favorably affected by the impact of excess tax benefits from stock-based compensation and the U.S. federal research and development credit and adversely affected by state income taxes. Our income tax provisions for the nine months ended September 30, 2019 and 2020 were $1.6 billion and $2.3 billion, which included $1.0 billion and $1.5 billion of net discrete tax benefits primarily attributable to excess tax benefits from stock-based compensation. Cash paid for income taxes, net of refunds was $241 million and $502 million in Q3 2019 and Q3 2020, and $692 million and $1.3 billion for the nine months ended September 30, 2019 and 2020. As of December 31, 2019 and September 30, 2020, tax contingencies were approximately $3.9 billion and $3.0 billion. The decrease in tax contingencies in 2020 was primarily a result of developments in our ongoing global tax controversies. Changes in tax laws, regulations, administrative practices, principles, and interpretations may impact our tax contingencies. The timing of the resolution of income tax examinations is highly uncertain, and the amounts ultimately paid, if any, upon resolution of the issues raised by the taxing authorities may differ from the amounts accrued. It is reasonably possible that within the next twelve months we will receive additional assessments by various tax authorities or possibly reach resolution of income tax examinations in one or more jurisdictions. These assessments or settlements could result in changes to our contingencies related to positions on prior years’ tax filings. We are under examination, or may be subject to examination, by the Internal Revenue Service (“IRS”) for the calendar year 2013 and thereafter. These examinations may lead to ordinary course adjustments or proposed adjustments to our taxes or our net operating losses with respect to years under examination as well as subsequent periods. During Q3 2020, we resolved the audits of tax years 2007 through 2012 with the IRS for amounts that were materially consistent with our accrual. In October 2014, the European Commission opened a formal investigation to examine whether decisions by the tax authorities in Luxembourg with regard to the corporate income tax paid by certain of our subsidiaries comply with European Union rules on state aid. On October 4, 2017, the European Commission announced its decision that determinations by the tax authorities in Luxembourg did not comply with European Union rules on state aid. Based on that decision the European Commission announced an estimated recovery amount of approximately €250 million, plus interest, for the period May 2006 through June 2014, and ordered Luxembourg tax authorities to calculate the actual amount of additional taxes subject to recovery. Luxembourg computed an initial recovery amount, consistent with the European Commission’s decision, that we deposited into escrow in March 2018, subject to adjustment pending conclusion of all appeals. In December 2017, Luxembourg appealed the European Commission’s decision. In May 2018, we appealed. We believe the European Commission’s decision to be without merit and will continue to defend ourselves vigorously in this matter. We are also subject to taxation in various states and other foreign jurisdictions including China, Germany, India, Japan, Luxembourg, and the United Kingdom. We are under, or may be subject to, audit or examination and additional assessments by the relevant authorities in respect of these particular jurisdictions primarily for 2009 and thereafter.

Segment Information

Segment Information	9 Months Ended
Segment Information	Sep. 30, 2020
Segment Reporting [Abstract]
Segment Information	SEGMENT INFORMATION We have organized our operations into three segments: North America, International, and AWS. We allocate to segment results the operating expenses “Fulfillment,” “Technology and content,” “Marketing,” and “General and administrative” based on usage, which is generally reflected in the segment in which the costs are incurred. The majority of technology infrastructure costs are allocated to the AWS segment based on usage. The majority of the remaining non-infrastructure technology costs are incurred in the U.S. and are allocated to our North America segment. There are no internal revenue transactions between our reportable segments. These segments reflect the way our chief operating decision maker evaluates the Company’s business performance and manages its operations. North America The North America segment primarily consists of amounts earned from retail sales of consumer products (including from sellers) and subscriptions through North America-focused online and physical stores. This segment includes export sales from these online stores. International The International segment primarily consists of amounts earned from retail sales of consumer products (including from sellers) and subscriptions through internationally-focused online stores. This segment includes export sales from these internationally-focused online stores (including export sales from these online stores to customers in the U.S., Mexico, and Canada), but excludes export sales from our North America-focused online stores. AWS The AWS segment consists of amounts earned from global sales of compute, storage, database, and other service offerings for start-ups, enterprises, government agencies, and academic institutions. Information on reportable segments and reconciliation to consolidated net income is as follows (in millions): Three Months Ended Nine Months Ended 2019 2020 2019 2020 North America Net sales $ 42,638 $ 59,373 $ 117,104 $ 160,936 Operating expenses 41,356 57,121 111,971 155,232 Operating income $ 1,282 $ 2,252 $ 5,133 $ 5,704 International Net sales $ 18,348 $ 25,171 $ 50,910 $ 66,945 Operating expenses 18,734 24,764 51,986 66,590 Operating income (loss) $ (386) $ 407 $ (1,076) $ 355 AWS Net sales $ 8,995 $ 11,601 $ 25,072 $ 32,628 Operating expenses 6,734 8,066 18,467 22,661 Operating income $ 2,261 $ 3,535 $ 6,605 $ 9,967 Consolidated Net sales $ 69,981 $ 96,145 $ 193,086 $ 260,509 Operating expenses 66,824 89,951 182,424 244,483 Operating income 3,157 6,194 10,662 16,026 Total non-operating income (expense) (525) 615 (739) 387 Provision for income taxes (494) (569) (1,588) (2,298) Equity-method investment activity, net of tax (4) 91 (15) (6) Net income $ 2,134 $ 6,331 $ 8,320 $ 14,109 Net sales by groups of similar products and services, which also have similar economic characteristics, is as follows (in millions): Three Months Ended Nine Months Ended 2019 2020 2019 2020 Net Sales: Online stores (1) $ 35,039 $ 48,350 $ 95,590 $ 130,899 Physical stores (2) 4,192 3,788 12,829 12,201 Third-party seller services (3) 13,212 20,436 36,316 53,121 Subscription services (4) 4,957 6,572 13,975 18,146 AWS 8,995 11,601 25,072 32,628 Other (5) 3,586 5,398 9,304 13,514 Consolidated $ 69,981 $ 96,145 $ 193,086 $ 260,509 ____________________________ (1) Includes product sales and digital media content where we record revenue gross. We leverage our retail infrastructure to offer a wide selection of consumable and durable goods that includes media products available in both a physical and digital format, such as books, music, videos, games, and software. These product sales include digital products sold on a transactional basis. Digital product subscriptions that provide unlimited viewing or usage rights are included in “Subscription services.” (2) Includes product sales where our customers physically select items in a store. Sales from customers who order goods online for delivery or pickup at our physical stores are included in “Online stores.” (3) Includes commissions and any related fulfillment and shipping fees, and other third-party seller services. (4) Includes annual and monthly fees associated with Amazon Prime memberships, as well as audiobook, digital video, digital music, e-book, and other non-AWS subscription services.

Accounting Policies and Suppl_2

Accounting Policies and Supplemental Disclosures (Policies)	9 Months Ended
Accounting Policies and Supplemental Disclosures (Policies)	Sep. 30, 2020
Accounting Policies [Abstract]
Unaudited Interim Financial Information	Unaudited Interim Financial Information We have prepared the accompanying consolidated financial statements pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”) for interim financial reporting. These consolidated financial statements are unaudited and, in our opinion, include all adjustments, consisting of normal recurring adjustments and accruals necessary for a fair presentation of our consolidated cash flows, operating results, and balance sheets for the periods presented. Operating results for the periods presented are not necessarily indicative of the results that may be expected for 2020 due to seasonal and other factors. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) have been omitted in accordance with the rules and regulations of the SEC. These consolidated financial statements should be read in conjunction with the audited consolidated financial statements and accompanying notes in Item 8 of Part II, “Financial Statements and Supplementary Data,” of our 2019 Annual Report on Form 10-K.
Prior Period Reclassifications	Prior Period Reclassifications Certain prior period amounts have been reclassified to conform to the current period presentation. Proceeds from and repayments of short-term debt, and other were reclassified from proceeds from and repayments of long-term debt, and other on our consolidated statements of cash flows.
Principles of Consolidation	Principles of Consolidation The consolidated financial statements include the accounts of Amazon.com, Inc. and its consolidated entities (collectively, the “Company”), consisting of its wholly-owned subsidiaries and those entities in which we have a variable interest and of which we are the primary beneficiary, including certain entities in India and certain entities that support our seller lending financing activities. Intercompany balances and transactions between consolidated entities are eliminated.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with GAAP requires estimates and assumptions that affect the reported amounts of assets and liabilities, revenues and expenses, and related disclosures of contingent liabilities in the consolidated financial statements and accompanying notes. Estimates are used for, but not limited to, income taxes, useful lives of equipment, commitments and contingencies, valuation of acquired intangibles and goodwill, stock-based compensation forfeiture rates, vendor funding, inventory valuation, collectability of receivables, and valuation and impairment of investments. Given the global economic climate and additional or unforeseen effects from the COVID-19 pandemic, these estimates have become more challenging, and actual results could differ materially from these estimates.
Earnings per Share	Earnings per Share Basic earnings per share is calculated using our weighted-average outstanding common shares. Diluted earnings per share is calculated using our weighted-average outstanding common shares including the dilutive effect of stock awards as determined under the treasury stock method. In periods when we have a net loss, stock awards are excluded from our calculation of earnings per share as their inclusion would have an antidilutive effect.
Inventories	Inventories Inventories, consisting of products available for sale, are primarily accounted for using the first-in, first-out method, and are valued at the lower of cost and net realizable value. This valuation requires us to make judgments, based on currently available information, about the likely method of disposition, such as through sales to individual customers, returns to product vendors, or liquidations, and expected recoverable values of each disposition category. The inventory valuation allowance, representing a write-down of inventory, was $1.6 billion and $1.9 billion as of December 31, 2019 and September 30, 2020.
Accounts Receivable, Net and Other	Accounts Receivable, Net and Other Included in “Accounts receivable, net and other” on our consolidated balance sheets are amounts primarily related to customers, vendors, and sellers. As of December 31, 2019 and September 30, 2020, customer receivables, net, were $12.6 billion and $13.1 billion, vendor receivables, net, were $4.2 billion and $3.3 billion, and seller receivables, net, were $863 million and $446 million. Seller receivables are amounts due from sellers related to our seller lending program, which provides funding to sellers primarily to procure inventory. We estimate losses on receivables based on expected losses, including our historical experience of actual losses. The allowance for doubtful accounts was $718 million and $968 million as of December 31, 2019 and September 30, 2020.
Digital Video and Music Content	Digital Video and Music ContentThe total capitalized costs of video, which is primarily released content, and music as of December 31, 2019 and September 30, 2020 were $5.8 billion and $6.3 billion. Total video and music expense was $1.9 billion and $2.8 billion in Q3 2019 and Q3 2020, and $5.5 billion and $8.0 billion for the nine months ended September 30, 2019 and 2020.
Unearned Revenue	Unearned Revenue Unearned revenue is recorded when payments are received or due in advance of performing our service obligations and is recognized over the service period. Unearned revenue primarily relates to prepayments of AWS services and Amazon Prime memberships. Our total unearned revenue as of December 31, 2019 was $10.2 billion, of which $7.1 billion was recognized as revenue during the nine months ended September 30, 2020. Included in “Other long-term liabilities” on our consolidated balance sheets was $2.0 billion and $1.9 billion of unearned revenue as of December 31, 2019 and September 30, 2020. Additionally, we have performance obligations, primarily related to AWS, associated with commitments in customer contracts for future services that have not yet been recognized in our consolidated financial statements. For contracts with original terms that exceed one year, those commitments not yet recognized were $44.8 billion as of September 30, 2020. The weighted average remaining life of our long-term contracts is 3.4 years. However, the amount and timing of revenue recognition is largely driven by customer usage, which can extend beyond the original contractual term.

Accounting Policies and Suppl_3

Accounting Policies and Supplemental Disclosures (Tables)	9 Months Ended
Accounting Policies and Supplemental Disclosures (Tables)	Sep. 30, 2020
Accounting Policies [Abstract]
Supplemental Cash Flow Information	The following table shows supplemental cash flow information (in millions): Three Months Ended Nine Months Ended Twelve Months Ended 2019 2020 2019 2020 2019 2020 SUPPLEMENTAL CASH FLOW INFORMATION: Cash paid for interest on debt $ 287 $ 285 $ 720 $ 715 $ 842 $ 869 Cash paid for operating leases 872 1,159 2,420 3,275 2,420 4,215 Cash paid for interest on finance leases 167 155 481 484 585 650 Cash paid for interest on financing obligations 14 28 20 71 72 90 Cash paid for income taxes, net of refunds 241 502 692 1,293 863 1,481 Assets acquired under operating leases 2,299 6,115 5,393 11,870 5,393 14,346 Property and equipment acquired under finance leases 3,606 3,571 9,541 8,892 13,222 13,075 Property and equipment acquired under build-to-suit arrangements 390 366 1,109 1,228 2,252 1,480
Calculation of Diluted Shares	The following table shows the calculation of diluted shares (in millions): Three Months Ended Nine Months Ended 2019 2020 2019 2020 Shares used in computation of basic earnings per share 495 501 493 500 Total dilutive effect of outstanding stock awards 9 11 10 9 Shares used in computation of diluted earnings per share 504 512 503 509

Financial Instruments (Tables)

Financial Instruments (Tables)	9 Months Ended
Financial Instruments (Tables)	Sep. 30, 2020
Investments, Debt and Equity Securities [Abstract]
Fair Value by Major Security Type	The following table summarizes, by major security type, our cash, cash equivalents, restricted cash, and marketable securities that are measured at fair value on a recurring basis and are categorized using the fair value hierarchy (in millions): December 31, 2019 September 30, 2020 Total Cost or Gross Gross Total Cash $ 9,776 $ 9,553 $ — — $ 9,553 Level 1 securities: Money market funds 18,850 17,701 — — 17,701 Equity securities (1) 202 452 Level 2 securities: Foreign government and agency securities 4,794 10,270 1 — 10,271 U.S. government and agency securities 7,080 7,656 34 (3) 7,687 Corporate debt securities 11,881 18,849 276 (5) 19,120 Asset-backed securities 2,360 3,245 31 (5) 3,271 Other fixed income securities 394 500 8 — 508 Equity securities (1) 5 114 $ 55,342 $ 67,774 $ 350 $ (13) $ 68,677 Less: Restricted cash, cash equivalents, and marketable securities (2) (321) (275) Total cash, cash equivalents, and marketable securities $ 55,021 $ 68,402 ___________________ (1) The related unrealized gain (loss) recorded in “Other income (expense), net” was $(55) million and $150 million in Q3 2019 and Q3 2020, and $27 million and $351 million for the nine months ended September 30, 2019 and 2020. (2) We are required to pledge or otherwise restrict a portion of our cash, cash equivalents, and marketable securities as collateral for real estate leases, amounts due to third-party sellers in certain jurisdictions, debt, and standby and trade letters of credit. We classify cash, cash equivalents, and marketable securities with use restrictions of less than twelve months as “Accounts receivable, net and other” and of twelve months or longer as non-current “Other assets” on our consolidated balance sheets. See “Note 4 — Commitments and Contingencies.”
Investments Classified by Contractual Maturity Date	The following table summarizes the remaining contractual maturities of our cash equivalents and marketable fixed income securities as of September 30, 2020 (in millions): Amortized Estimated Due within one year $ 38,791 $ 38,803 Due after one year through five years 16,106 16,400 Due after five years through ten years 753 758 Due after ten years 2,571 2,597 Total $ 58,221 $ 58,558 Actual maturities may differ from the contractual maturities because borrowers may have certain prepayment conditions.
Consolidated Statements of Cash Flow Reconciliation - Cash and Cash Equivalents	The following table provides a reconciliation of the amount of cash, cash equivalents, and restricted cash reported within the consolidated balance sheets to the total of the same such amounts shown in the consolidated statements of cash flows (in millions): December 31, 2019 September 30, 2020 Cash and cash equivalents $ 36,092 $ 29,930 Restricted cash included in accounts receivable, net and other 276 239 Restricted cash included in other assets 42 33 Total cash, cash equivalents, and restricted cash shown in the consolidated statements of cash flows $ 36,410 $ 30,202
Consolidated Statements of Cash Flow Reconciliation - Restricted Cash	The following table provides a reconciliation of the amount of cash, cash equivalents, and restricted cash reported within the consolidated balance sheets to the total of the same such amounts shown in the consolidated statements of cash flows (in millions): December 31, 2019 September 30, 2020 Cash and cash equivalents $ 36,092 $ 29,930 Restricted cash included in accounts receivable, net and other 276 239 Restricted cash included in other assets 42 33 Total cash, cash equivalents, and restricted cash shown in the consolidated statements of cash flows $ 36,410 $ 30,202

Leases (Tables)

Leases (Tables)	9 Months Ended
Leases (Tables)	Sep. 30, 2020
Leases [Abstract]
Lease Costs	Lease cost recognized in our consolidated statements of operations is summarized as follows (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2019 2020 2019 2020 Operating lease cost $ 934 $ 1,334 $ 2,644 $ 3,551 Finance lease cost: Amortization of lease assets 2,609 2,200 7,319 6,123 Interest on lease liabilities 164 154 479 474 Finance lease cost 2,773 2,354 7,798 6,597 Variable lease cost 244 308 775 866 Total lease cost $ 3,951 $ 3,996 $ 11,217 $ 11,014
Other Information about Lease Amounts Recognized	Other information about lease amounts recognized in our consolidated financial statements is summarized as follows: December 31, 2019 September 30, 2020 Weighted-average remaining lease term – operating leases 11.5 years 11.1 years Weighted-average remaining lease term – finance leases 5.5 years 6.1 years Weighted-average discount rate – operating leases 3.1 % 2.6 % Weighted-average discount rate – finance leases 2.7 % 2.3 %
Lease Liabilities	Our lease liabilities were as follows (in millions): December 31, 2019 Operating Leases Finance Leases Total Gross lease liabilities $ 31,963 $ 28,875 $ 60,838 Less: imputed interest (6,128) (1,896) (8,024) Present value of lease liabilities 25,835 26,979 52,814 Less: current portion of lease liabilities (3,139) (9,884) (13,023) Total long-term lease liabilities $ 22,696 $ 17,095 $ 39,791 September 30, 2020 Operating Leases Finance Leases Total Gross lease liabilities $ 42,014 $ 29,801 $ 71,815 Less: imputed interest (6,759) (2,051) (8,810) Present value of lease liabilities 35,255 27,750 63,005 Less: current portion of lease liabilities (4,156) (10,260) (14,416) Total long-term lease liabilities $ 31,099 $ 17,490 $ 48,589

Commitments and Contingencies (

Commitments and Contingencies (Tables)	9 Months Ended
Commitments and Contingencies (Tables)	Sep. 30, 2020
Commitments and Contingencies Disclosure [Abstract]
Principal Contractual Commitments, Excluding Open Orders for Purchases	The following summarizes our principal contractual commitments, excluding open orders for purchases that support normal operations and are generally cancellable, as of September 30, 2020 (in millions): Three Months Ended December 31, Year Ended December 31, 2020 2021 2022 2023 2024 Thereafter Total Long-term debt principal and interest $ 282 $ 2,188 $ 2,647 $ 3,271 $ 4,272 $ 38,738 $ 51,398 Operating lease liabilities 1,139 5,032 4,584 4,204 3,865 23,190 42,014 Finance lease liabilities, including interest 2,363 10,145 6,507 2,753 1,291 6,742 29,801 Financing obligations, including interest 48 211 214 217 220 3,694 4,604 Unconditional purchase obligations (1) 416 4,027 3,562 3,194 3,049 2,296 16,544 Other commitments (2) (3) 1,260 3,963 3,290 2,268 2,238 23,612 36,631 Total commitments $ 5,508 $ 25,566 $ 20,804 $ 15,907 $ 14,935 $ 98,272 $ 180,992 ___________________ (1) Includes unconditional purchase obligations related to certain products offered in our Whole Foods Market stores and long-term agreements to acquire and license digital media content that are not reflected on the consolidated balance sheets. For those digital media content agreements with variable terms, we do not estimate the total obligation beyond any minimum quantities and/or pricing as of the reporting date. Purchase obligations associated with renewal provisions solely at the option of the content provider are included to the extent such commitments are fixed or a minimum amount is specified. (2) Includes the estimated timing and amounts of payments for rent and tenant improvements associated with build-to-suit lease arrangements and lease arrangements prior to the lease commencement date, liabilities associated with digital media content agreements with initial terms greater than one year, and asset retirement obligations. (3) Excludes approximately $3.0 billion of accrued tax contingencies for which we cannot make a reasonably reliable estimate of the amount and period of payment, if any.

Debt (Tables)

Debt (Tables)	9 Months Ended
Debt (Tables)	Sep. 30, 2020
Debt Disclosure [Abstract]
Long-Term Debt Obligations	Our total long-term debt obligations are as follows (in millions): Maturities (1) Stated Interest Rates Effective Interest Rates December 31, 2019 September 30, 2020 2012 Notes issuance of $3.0 billion 2022 2.50% 2.66% 1,250 1,250 2014 Notes issuance of $6.0 billion 2021 - 2044 3.30% - 4.95% 3.43% - 5.11% 5,000 5,000 2017 Notes issuance of $17.0 billion 2023 - 2057 2.40% - 5.20% 2.56% - 4.33% 17,000 16,000 2020 Notes issuance of $10.0 billion 2023 - 2060 0.40% - 2.70% 0.56% - 2.77% — 10,000 Credit Facility 740 413 Other long-term debt 830 625 Total face value of long-term debt 24,820 33,288 Unamortized discount and issuance costs, net (101) (204) Less current portion of long-term debt (1,305) (155) Long-term debt $ 23,414 $ 32,929 ___________________ (1) The weighted average remaining lives of the 2012, 2014, 2017, and 2020 Notes were 2.2, 12.1, 16.5, and 19.0 years as of September 30, 2020. The combined weighted average remaining life of the Notes was 16.0 years as of September 30, 2020.

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	9 Months Ended
Stockholders' Equity (Tables)	Sep. 30, 2020
Equity [Abstract]
Stock-Based Compensation Expense	Stock-based compensation expense is as follows (in millions): Three Months Ended Nine Months Ended 2019 2020 2019 2020 Cost of sales $ 39 $ 75 $ 106 $ 193 Fulfillment 301 316 895 993 Technology and content 966 1,267 2,719 3,649 Marketing 298 446 813 1,233 General and administrative 175 184 491 578 Total stock-based compensation expense $ 1,779 $ 2,288 $ 5,024 $ 6,646
Restricted Stock Unit Activity	The following table summarizes our restricted stock unit activity for the nine months ended September 30, 2020 (in millions): Number of Units Weighted-Average Outstanding as of December 31, 2019 14.3 $ 1,458 Units granted 7.1 2,281 Units vested (4.0) 1,168 Units forfeited (1.0) 1,571 Outstanding as of September 30, 2020 16.4 1,879
Scheduled Vesting for Outstanding Restricted Stock Units	Scheduled vesting for outstanding restricted stock units as of September 30, 2020, is as follows (in millions): Three Months Ended December 31, Year Ended December 31, 2020 2021 2022 2023 2024 Thereafter Total Scheduled vesting—restricted stock units 1.8 5.7 5.4 2.4 0.9 0.2 16.4
Changes in Stockholders' Equity	The following table shows the changes in stockholders’ equity (in millions): Three Months Ended Nine Months Ended 2019 2020 2019 2020 Total beginning stockholders’ equity $ 53,061 $ 73,728 $ 43,549 $ 62,060 Beginning and ending common stock 5 5 5 5 Beginning and ending treasury stock (1,837) (1,837) (1,837) (1,837) Beginning additional paid-in capital 30,035 38,017 26,791 33,658 Stock-based compensation and issuance of employee benefit plan stock 1,782 2,290 5,026 6,649 Ending additional paid-in capital 31,817 40,307 31,817 40,307 Beginning accumulated other comprehensive income (loss) (960) (1,455) (1,035) (986) Other comprehensive income (loss) (469) 426 (394) (43) Ending accumulated other comprehensive income (loss) (1,429) (1,029) (1,429) (1,029) Beginning retained earnings 25,818 38,998 19,625 31,220 Cumulative effect of changes in accounting principles (1) — — 7 — Net income 2,134 6,331 8,320 14,109 Ending retained earnings 27,952 45,329 27,952 45,329 Total ending stockholders’ equity $ 56,508 $ 82,775 $ 56,508 $ 82,775 ___________________

Segment Information (Tables)

Segment Information (Tables)	9 Months Ended
Segment Information (Tables)	Sep. 30, 2020
Segment Reporting [Abstract]
Information on Reportable Segments and Reconciliation to Consolidated Net Income	Information on reportable segments and reconciliation to consolidated net income is as follows (in millions): Three Months Ended Nine Months Ended 2019 2020 2019 2020 North America Net sales $ 42,638 $ 59,373 $ 117,104 $ 160,936 Operating expenses 41,356 57,121 111,971 155,232 Operating income $ 1,282 $ 2,252 $ 5,133 $ 5,704 International Net sales $ 18,348 $ 25,171 $ 50,910 $ 66,945 Operating expenses 18,734 24,764 51,986 66,590 Operating income (loss) $ (386) $ 407 $ (1,076) $ 355 AWS Net sales $ 8,995 $ 11,601 $ 25,072 $ 32,628 Operating expenses 6,734 8,066 18,467 22,661 Operating income $ 2,261 $ 3,535 $ 6,605 $ 9,967 Consolidated Net sales $ 69,981 $ 96,145 $ 193,086 $ 260,509 Operating expenses 66,824 89,951 182,424 244,483 Operating income 3,157 6,194 10,662 16,026 Total non-operating income (expense) (525) 615 (739) 387 Provision for income taxes (494) (569) (1,588) (2,298) Equity-method investment activity, net of tax (4) 91 (15) (6) Net income $ 2,134 $ 6,331 $ 8,320 $ 14,109
Disaggregation of Revenue	Net sales by groups of similar products and services, which also have similar economic characteristics, is as follows (in millions): Three Months Ended Nine Months Ended 2019 2020 2019 2020 Net Sales: Online stores (1) $ 35,039 $ 48,350 $ 95,590 $ 130,899 Physical stores (2) 4,192 3,788 12,829 12,201 Third-party seller services (3) 13,212 20,436 36,316 53,121 Subscription services (4) 4,957 6,572 13,975 18,146 AWS 8,995 11,601 25,072 32,628 Other (5) 3,586 5,398 9,304 13,514 Consolidated $ 69,981 $ 96,145 $ 193,086 $ 260,509 ____________________________ (1) Includes product sales and digital media content where we record revenue gross. We leverage our retail infrastructure to offer a wide selection of consumable and durable goods that includes media products available in both a physical and digital format, such as books, music, videos, games, and software. These product sales include digital products sold on a transactional basis. Digital product subscriptions that provide unlimited viewing or usage rights are included in “Subscription services.” (2) Includes product sales where our customers physically select items in a store. Sales from customers who order goods online for delivery or pickup at our physical stores are included in “Online stores.” (3) Includes commissions and any related fulfillment and shipping fees, and other third-party seller services. (4) Includes annual and monthly fees associated with Amazon Prime memberships, as well as audiobook, digital video, digital music, e-book, and other non-AWS subscription services.

Accounting Policies and Suppl_4

Accounting Policies and Supplemental Disclosures - Use of Estimates (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Dec. 31, 2019	Sep. 30, 2019
Property, Plant and Equipment [Line Items]
Decrease in depreciation and amortization	$ (6,523)	$ (5,563)	$ (17,633)	$ (15,619)	$ (23,803)		$ (19,881)
Increase in net income	$ 6,331	$ 2,134	$ 14,109	$ 8,320	$ 17,377		$ 11,347
Increase in basic earnings per share	$ 12.63	$ 4.31	$ 28.24	$ 16.87
Increase in diluted earnings per share	$ 12.37	$ 4.23	$ 27.72	$ 16.53
Technology equipment
Property, Plant and Equipment [Line Items]
Useful life of equipment			4 years			3 years
Change in equipment useful life
Property, Plant and Equipment [Line Items]
Decrease in depreciation and amortization	$ 634		$ 2,100
Increase in net income	$ 479		$ 1,600
Increase in basic earnings per share	$ 0.95		$ 3.23
Increase in diluted earnings per share	$ 0.93		$ 3.18

Accounting Policies and Suppl_5

Accounting Policies and Supplemental Disclosures - Supplemental Cash Flow Information (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Accounting Policies [Abstract]
Cash paid for interest on debt	$ 285	$ 287	$ 715	$ 720	$ 869	$ 842
Cash paid for operating leases	1,159	872	3,275	2,420	4,215	2,420
Cash paid for interest on finance leases	155	167	484	481	650	585
Cash paid for interest on financing obligations	28	14	71	20	90	72
Cash paid for income taxes, net of refunds	502	241	1,293	692	1,481	863
Assets acquired under operating leases	6,115	2,299	11,870	5,393	14,346	5,393
Property and equipment acquired under finance leases	3,571	3,606	8,892	9,541	13,075	13,222
Property and equipment acquired under build-to-suit arrangements	$ 366	$ 390	$ 1,228	$ 1,109	$ 1,480	$ 2,252

Accounting Policies and Suppl_6

Accounting Policies and Supplemental Disclosures - Calculation of Diluted Shares (Details) - shares shares in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Accounting Policies [Abstract]
Shares used in computation of basic earnings per share (in shares)	501	495	500	493
Total dilutive effect of outstanding stock awards (in shares)	11	9	9	10
Shares used in computation of diluted earnings per share (in shares)	512	504	509	503

Accounting Policies and Suppl_7

Accounting Policies and Supplemental Disclosures - Inventories (Details) - USD ($) $ in Billions	Sep. 30, 2020	Dec. 31, 2019
Accounting Policies [Abstract]
Inventory valuation allowance	$ 1.9	$ 1.6

Accounting Policies and Suppl_8

Accounting Policies and Supplemental Disclosures - Accounts Receivable, Net and Other (Details) - USD ($) $ in Millions	Sep. 30, 2020	Dec. 31, 2019
Accounts, Notes, Loans and Financing Receivable [Line Items]
Accounts receivable, net and other	$ 20,832	$ 20,816
Allowance for doubtful accounts	968	718
Customer receivables, net
Accounts, Notes, Loans and Financing Receivable [Line Items]
Accounts receivable, net and other	13,100	12,600
Vendor receivables, net
Accounts, Notes, Loans and Financing Receivable [Line Items]
Accounts receivable, net and other	3,300	4,200
Seller receivables, net
Accounts, Notes, Loans and Financing Receivable [Line Items]
Accounts receivable, net and other	$ 446	$ 863

Accounting Policies and Suppl_9

Accounting Policies and Supplemental Disclosures - Video and Music Content (Details) - USD ($) $ in Billions	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
Accounting Policies [Abstract]
Digital video and music content, capitalized costs	$ 6.3		$ 6.3		$ 5.8
Digital video and music content, expense	$ 2.8	$ 1.9	$ 8	$ 5.5

Accounting Policies and Supp_10

Accounting Policies and Supplemental Disclosures - Unearned Revenue (Details) - USD ($) $ in Billions	9 Months Ended
	Sep. 30, 2020	Dec. 31, 2019
Accounting Policies [Abstract]
Unearned revenue		$ 10.2
Unearned revenue, revenue recognized	$ 7.1
Unearned revenue, long-term	1.9	$ 2
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-10-01
Accounting Policies [Abstract]
Remaining performance obligation, contracts exceeding one year	$ 44.8
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation, weighted average remaining life	3 years 4 months 24 days

Financial Instruments - Fair Va

Financial Instruments - Fair Values on Recurring Basis (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
Equity Securities, FV-NI, Gain (Loss)
Equity securities, unrealized gain (loss)	$ 150	$ (55)	$ 351	$ 27
Recurring
Schedule of Investments [Line Items]
Cash	9,553		9,553		$ 9,776
Debt Securities, Available-for-sale
Gross unrealized gains	350		350
Gross unrealized losses	(13)		(13)
Cash, Cash Equivalents, and Marketable Securities
Cash, cash equivalents and marketable securities, amortized cost	67,774		67,774
Cash, cash equivalents and marketable securities	68,677		68,677		55,342
Less: Restricted cash, cash equivalents, and marketable securities	(275)		(275)		(321)
Total cash, cash equivalents, and marketable securities	68,402		68,402		55,021
Recurring \| Level 1 securities
Cash, Cash Equivalents, and Marketable Securities
Equity securities	452		452		202
Recurring \| Level 1 securities \| Money market funds
Schedule of Investments [Line Items]
Money market funds	17,701		17,701		18,850
Recurring \| Level 2 securities
Cash, Cash Equivalents, and Marketable Securities
Equity securities	114		114		5
Recurring \| Level 2 securities \| Foreign government and agency securities
Debt Securities, Available-for-sale
Fixed income securities, amortized cost	10,270		10,270
Gross unrealized gains	1		1
Gross unrealized losses	0		0
Fixed income securities	10,271		10,271		4,794
Recurring \| Level 2 securities \| U.S. government and agency securities
Debt Securities, Available-for-sale
Fixed income securities, amortized cost	7,656		7,656
Gross unrealized gains	34		34
Gross unrealized losses	(3)		(3)
Fixed income securities	7,687		7,687		7,080
Recurring \| Level 2 securities \| Corporate debt securities
Debt Securities, Available-for-sale
Fixed income securities, amortized cost	18,849		18,849
Gross unrealized gains	276		276
Gross unrealized losses	(5)		(5)
Fixed income securities	19,120		19,120		11,881
Recurring \| Level 2 securities \| Asset-backed securities
Debt Securities, Available-for-sale
Fixed income securities, amortized cost	3,245		3,245
Gross unrealized gains	31		31
Gross unrealized losses	(5)		(5)
Fixed income securities	3,271		3,271		2,360
Recurring \| Level 2 securities \| Other fixed income securities
Debt Securities, Available-for-sale
Fixed income securities, amortized cost	500		500
Gross unrealized gains	8		8
Gross unrealized losses	0		0
Fixed income securities	508		508		$ 394
Money market funds \| Recurring \| Level 1 securities \| Money market funds
Schedule of Investments [Line Items]
Money market funds	$ 17,701		$ 17,701

Financial Instruments - Contrac

Financial Instruments - Contractual Maturities (Details) $ in Millions	Sep. 30, 2020USD ($)
Amortized Cost
Due within one year	$ 38,791
Due after one year through five years	16,106
Due after five years through ten years	753
Due after ten years	2,571
Amortized cost	58,221
Estimated Fair Value
Due within one year	38,803
Due after one year through five years	16,400
Due after five years through ten years	758
Due after ten years	2,597
Estimated fair value	$ 58,558

Financial Instruments - Equity

Financial Instruments - Equity Warrants and Non-Marketable Equity Investments (Details) - USD ($) $ in Millions	Sep. 30, 2020	Dec. 31, 2019
Derivative [Line Items]
Equity investments without readily determinable fair values	$ 2,600	$ 1,500
Warrant \| Level 2 assets
Derivative [Line Items]
Fair value of warrant assets	$ 1,400	$ 669

Financial Instruments - Consoli

Financial Instruments - Consolidated Statements of Cash Flows Reconciliation (Details) - USD ($) $ in Millions	Sep. 30, 2020	Jun. 30, 2020	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Dec. 31, 2018	Sep. 30, 2018
Investments, Debt and Equity Securities [Abstract]
Cash and cash equivalents	$ 29,930		$ 36,092
Restricted cash included in accounts receivable, net and other	239		276
Restricted cash included in other assets	33		42
Total cash, cash equivalents, and restricted cash shown in the consolidated statements of cash flows	$ 30,202	$ 37,842	$ 36,410	$ 23,554	$ 22,965	$ 32,173	$ 21,032

Leases - Additional Information

Leases - Additional Information (Details) - USD ($) $ in Billions	Sep. 30, 2020	Dec. 31, 2019
Leases [Abstract]
Gross assets acquired under finance leases	$ 64.9	$ 57.4
Accumulated amortization associated with finance leases	$ 34.2	$ 30

Leases - Lease Cost (Details)

Leases - Lease Cost (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
Leases - Lease Cost (Details) - USD ($) $ in Millions	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Leases [Abstract]
Operating lease cost	$ 1,334	$ 934	$ 3,551	$ 2,644
Finance lease cost: amortization of lease assets	2,200	2,609	6,123	7,319
Finance lease cost: interest on lease liabilities	154	164	474	479
Finance lease cost	2,354	2,773	6,597	7,798
Variable lease cost	308	244	866	775
Total lease cost	$ 3,996	$ 3,951	$ 11,014	$ 11,217

Leases - Other Operating and Fi

Leases - Other Operating and Finance Lease Information (Details)	Sep. 30, 2020	Dec. 31, 2019
Leases [Abstract]
Weighted-average remaining lease term – operating leases	11 years 1 month 6 days	11 years 6 months
Weighted-average remaining lease term – finance leases	6 years 1 month 6 days	5 years 6 months
Weighted-average discount rate – operating leases	2.60%	3.10%
Weighted-average discount rate – finance leases	2.30%	2.70%

Leases - Operating and Finance

Leases - Operating and Finance Lease Liability Reconciliation (Details) - USD ($) $ in Millions	Sep. 30, 2020	Dec. 31, 2019
Leases [Abstract]
Gross lease liabilities - operating leases	$ 42,014	$ 31,963
Gross lease liabilities - finance leases	29,801	28,875
Gross lease liabilities	71,815	60,838
Imputed interest - operating leases	(6,759)	(6,128)
Imputed interest - finance leases	(2,051)	(1,896)
Imputed interest	(8,810)	(8,024)
Present value of operating leases	35,255	25,835
Present value of finance leases	27,750	26,979
Present value of lease liabilities	63,005	52,814
Current portion of operating lease liabilities	(4,156)	(3,139)
Current portion of finance lease liabilities	(10,260)	(9,884)
Current portion of lease liabilities	(14,416)	(13,023)
Total long-term operating lease liabilities	31,099	22,696
Total long-term finance lease liabilities	17,490	17,095
Total long-term lease liabilities	$ 48,589	$ 39,791

Commitments and Contingencies -

Commitments and Contingencies - Principal Contractual Commitments Excluding Open Orders (Details) - USD ($) $ in Millions	Sep. 30, 2020	Dec. 31, 2019
Long-term debt principal and interest
2020	$ 282
2021	2,188
2022	2,647
2023	3,271
2024	4,272
Thereafter	38,738
Total	51,398
Operating lease liabilities
2020	1,139
2021	5,032
2022	4,584
2023	4,204
2024	3,865
Thereafter	23,190
Gross lease liabilities - operating leases	42,014	$ 31,963
Finance lease liabilities, including interest
2020	2,363
2021	10,145
2022	6,507
2023	2,753
2024	1,291
Thereafter	6,742
Gross lease liabilities - finance leases	29,801	28,875
Financing obligations, including interest
2020	48
2021	211
2022	214
2023	217
2024	220
Thereafter	3,694
Total	4,604
Unconditional purchase obligations
2020	416
2021	4,027
2022	3,562
2023	3,194
2024	3,049
Thereafter	2,296
Total	16,544
Other commitments
2020	1,260
2021	3,963
2022	3,290
2023	2,268
2024	2,238
Thereafter	23,612
Total	36,631
Total commitments
2020	5,508
2021	25,566
2022	20,804
2023	15,907
2024	14,935
Thereafter	98,272
Total	180,992
Accrued tax contingencies	$ 3,000	$ 3,900

Commitments and Contingencies_2

Commitments and Contingencies - Pledged Assets (Details) - USD ($) $ in Millions	Sep. 30, 2020	Dec. 31, 2019
Commitments and Contingencies Disclosure [Abstract]
Pledged assets	$ 921	$ 994

Debt - Additional Information (

Debt - Additional Information (Details)	1 Months Ended	9 Months Ended
Debt - Additional Information (Details)	Apr. 30, 2018USD ($)extension	Sep. 30, 2020USD ($)	Jun. 30, 2020USD ($)	Jun. 01, 2020USD ($)	Dec. 31, 2019USD ($)	Oct. 31, 2016USD ($)
Debt Instrument [Line Items]
Total face value of long-term debt		$ 33,288,000,000			$ 24,820,000,000
Commercial Paper
Debt Instrument [Line Items]
Commercial paper, maximum borrowing capacity	$ 7,000,000,000		$ 10,000,000,000
Commercial paper, term	397 days
Commercial paper		$ 725,000,000			0
Commercial paper, weighted average effective interest rate		0.13%
Senior Notes
Debt Instrument [Line Items]
Total face value of long-term debt		$ 32,200,000,000		$ 10,000,000,000
Estimated fair value of notes		37,300,000,000			26,200,000,000
Other long-term debt and credit facility
Debt Instrument [Line Items]
Total face value of long-term debt		1,000,000,000			1,600,000,000
Credit Facility \| Revolving Credit Facility
Debt Instrument [Line Items]
Total face value of long-term debt		413,000,000			740,000,000
Credit Facility \| Revolving Credit Facility \| October 2016 Revolving Credit Facility
Debt Instrument [Line Items]
Revolving credit facility maximum borrowing capacity		$ 740,000,000				$ 500,000,000
Commitment fee percentage		0.50%
Borrowings outstanding		$ 413,000,000			$ 740,000,000
Weighted average interest rate		3.10%			3.40%
Collateral amount		$ 475,000,000			$ 852,000,000
Credit Facility \| Revolving Credit Facility \| October 2016 Revolving Credit Facility \| LIBOR
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)		1.40%
Credit Facility \| Revolving Credit Facility \| April 2018 Revolving Credit Facility
Debt Instrument [Line Items]
Revolving credit facility maximum borrowing capacity	$ 7,000,000,000
Commitment fee percentage	0.04%
Borrowings outstanding		$ 0			0
Number of term extensions \| extension	3
Additional term	1 year
Credit Facility \| Revolving Credit Facility \| April 2018 Revolving Credit Facility \| LIBOR
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)	0.50%
Other long-term debt
Debt Instrument [Line Items]
Total face value of long-term debt		$ 625,000,000			$ 830,000,000
Weighted average interest rate		2.90%			4.10%

Debt - Long-Term Debt Obligatio

Debt - Long-Term Debt Obligations (Details) - USD ($)	9 Months Ended
Debt - Long-Term Debt Obligations (Details) - USD ($)	Sep. 30, 2020	Jun. 01, 2020	Dec. 31, 2019
Debt Instrument [Line Items]
Total face value of long-term debt	$ 33,288,000,000		$ 24,820,000,000
Less current portion of long-term debt	(155,000,000)		(1,305,000,000)
Long-term debt	32,929,000,000		23,414,000,000
Senior Notes
Debt Instrument [Line Items]
Total face value of long-term debt	32,200,000,000	$ 10,000,000,000
Unamortized discount and issuance costs, net	$ (204,000,000)		(101,000,000)
Weighted average remaining lives term	16 years
Senior Notes \| 2012 Notes issuance of $3.0 billion
Debt Instrument [Line Items]
Issuance amount	$ 3,000,000,000
Stated Interest Rates	2.50%
Effective Interest Rates	2.66%
Total face value of long-term debt	$ 1,250,000,000		1,250,000,000
Weighted average remaining lives term	2 years 2 months 12 days
Senior Notes \| 2014 Notes issuance of $6.0 billion
Debt Instrument [Line Items]
Issuance amount	$ 6,000,000,000
Total face value of long-term debt	$ 5,000,000,000		5,000,000,000
Weighted average remaining lives term	12 years 1 month 6 days
Senior Notes \| 2014 Notes issuance of $6.0 billion \| Minimum
Debt Instrument [Line Items]
Stated Interest Rates	3.30%
Effective Interest Rates	3.43%
Senior Notes \| 2014 Notes issuance of $6.0 billion \| Maximum
Debt Instrument [Line Items]
Stated Interest Rates	4.95%
Effective Interest Rates	5.11%
Senior Notes \| 2017 Notes issuance of $17.0 billion
Debt Instrument [Line Items]
Issuance amount	$ 17,000,000,000
Total face value of long-term debt	$ 16,000,000,000		17,000,000,000
Weighted average remaining lives term	16 years 6 months
Senior Notes \| 2017 Notes issuance of $17.0 billion \| Minimum
Debt Instrument [Line Items]
Stated Interest Rates	2.40%
Effective Interest Rates	2.56%
Senior Notes \| 2017 Notes issuance of $17.0 billion \| Maximum
Debt Instrument [Line Items]
Stated Interest Rates	5.20%
Effective Interest Rates	4.33%
Senior Notes \| 2020 Notes issuance of $10.0 billion
Debt Instrument [Line Items]
Issuance amount	$ 10,000,000,000
Total face value of long-term debt	$ 10,000,000,000		0
Weighted average remaining lives term	19 years
Senior Notes \| 2020 Notes issuance of $10.0 billion \| Minimum
Debt Instrument [Line Items]
Stated Interest Rates	0.40%
Effective Interest Rates	0.56%
Senior Notes \| 2020 Notes issuance of $10.0 billion \| Maximum
Debt Instrument [Line Items]
Stated Interest Rates	2.70%
Effective Interest Rates	2.77%
Credit Facility \| Revolving Credit Facility
Debt Instrument [Line Items]
Total face value of long-term debt	$ 413,000,000		740,000,000
Other long-term debt
Debt Instrument [Line Items]
Total face value of long-term debt	$ 625,000,000		$ 830,000,000

Stockholders' Equity - Addition

Stockholders' Equity - Additional Information (Details) - USD ($) shares in Millions	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019	Feb. 29, 2016
Class of Stock [Line Items]
Common shares outstanding plus underlying outstanding stock awards (in shares)	518		512
Net unrecognized compensation cost related to unvested stock-based compensation arrangements	$ 13,900,000,000
Compensation cost expected to be expensed in next twelve months, percentage	50.00%
Net unrecognized compensation cost related to unvested stock-based compensation arrangements, weighted average recognition period (in years)	1 year 2 months 12 days
Estimated forfeiture rate	27.00%		27.00%
February 2016 Program
Class of Stock [Line Items]
Stock repurchase, authorized amount				$ 5,000,000,000
Stock repurchases	$ 0	$ 0

Stockholders' Equity - Stock-ba

Stockholders' Equity - Stock-based Compensation Expense (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	$ 2,288	$ 1,779	$ 6,646	$ 5,024
Cost of sales
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	75	39	193	106
Fulfillment
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	316	301	993	895
Technology and content
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	1,267	966	3,649	2,719
Marketing
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	446	298	1,233	813
General and administrative
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	$ 184	$ 175	$ 578	$ 491

Stockholders' Equity - Restrict

Stockholders' Equity - Restricted Stock Unit Activity (Details) - Restricted Stock Units shares in Millions	9 Months Ended
	Sep. 30, 2020$ / sharesshares
Number of Units
Beginning balance (in shares) \| shares	14.3
Units granted (in shares) \| shares	7.1
Units vested (in shares) \| shares	(4)
Units forfeited (in shares) \| shares	(1)
Ending balance (in shares) \| shares	16.4
Weighted-Average Grant-Date Fair Value
Beginning balance (in usd per share) \| $ / shares	$ 1,458
Units granted (in usd per share) \| $ / shares	2,281
Units vested (in usd per share) \| $ / shares	1,168
Units forfeited (in usd per share) \| $ / shares	1,571
Ending balance (in usd per share) \| $ / shares	$ 1,879

Stockholders' Equity - Schedule

Stockholders' Equity - Scheduled Vesting for Outstanding Restricted Stock Units (Details) - Restricted Stock Units - shares shares in Millions	Sep. 30, 2020	Dec. 31, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Three Months Ended December 31, 2020 (in shares)	1.8
Year Ended December 31, 2021 (in shares)	5.7
Year Ended December 31, 2022 (in shares)	5.4
Year Ended December 31, 2023 (in shares)	2.4
Year Ended December 31, 2024 (in shares)	0.9
Thereafter (in shares)	0.2
Total (in shares)	16.4	14.3

Stockholders' Equity - Changes

Stockholders' Equity - Changes in Stockholders Equity (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Changes in Stockholders' Equity
Beginning balance	$ 73,728	$ 53,061	$ 62,060	$ 43,549	$ 56,508
Other comprehensive income (loss)	426	(469)	(43)	(394)
Net Income	6,331	2,134	14,109	8,320	17,377	$ 11,347
Ending balance	82,775	56,508	82,775	56,508	82,775	56,508
Common stock
Changes in Stockholders' Equity
Beginning balance	5	5	5	5	5
Ending balance	5	5	5	5	5	5
Treasury stock
Changes in Stockholders' Equity
Beginning balance	(1,837)	(1,837)	(1,837)	(1,837)	(1,837)
Ending balance	(1,837)	(1,837)	(1,837)	(1,837)	(1,837)	(1,837)
Additional paid-in capital
Changes in Stockholders' Equity
Beginning balance	38,017	30,035	33,658	26,791	31,817
Stock-based compensation and issuance of employee benefit plan stock	2,290	1,782	6,649	5,026
Ending balance	40,307	31,817	40,307	31,817	40,307	31,817
Accumulated other comprehensive income (loss)
Changes in Stockholders' Equity
Beginning balance	(1,455)	(960)	(986)	(1,035)	(1,429)
Other comprehensive income (loss)	426	(469)	(43)	(394)
Ending balance	(1,029)	(1,429)	(1,029)	(1,429)	(1,029)	(1,429)
Retained earnings
Changes in Stockholders' Equity
Beginning balance	38,998	25,818	31,220	19,625	27,952
Net Income	6,331	2,134	14,109	8,320
Ending balance	$ 45,329	$ 27,952	$ 45,329	27,952	$ 45,329	$ 27,952
Retained earnings \| Cumulative Effect, Period of Adoption, Adjustment
Changes in Stockholders' Equity
Beginning balance				$ 7

Income Taxes (Details)

Income Taxes (Details) € in Millions, $ in Millions	Oct. 04, 2017EUR (€)	Sep. 30, 2020USD ($)	Sep. 30, 2019USD ($)	Sep. 30, 2020USD ($)	Sep. 30, 2019USD ($)	Sep. 30, 2020USD ($)	Sep. 30, 2019USD ($)	Dec. 31, 2019USD ($)
Income Tax Disclosure [Abstract]
Provision for income taxes		$ 569	$ 494	$ 2,298	$ 1,588
Discrete tax benefits				1,500	1,000
Cash paid for income taxes, net of refunds		502	$ 241	1,293	$ 692	$ 1,481	$ 863
Tax contingencies		$ 3,000		$ 3,000		$ 3,000		$ 3,900
Luxembourg Tax Administration [Member] \| Foreign Tax Authority [Member]
Income Tax Examination [Line Items]
Tax examination, estimate of additional tax expense \| €	€ 250

Segment Information - Reportabl

Segment Information - Reportable Segments and Reconciliation to Consolidated Net Income (Details) $ in Millions	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2020USD ($)	Sep. 30, 2019USD ($)	Sep. 30, 2020USD ($)segment	Sep. 30, 2019USD ($)	Sep. 30, 2020USD ($)	Sep. 30, 2019USD ($)
Segment Reporting [Abstract]
Number of operating segments \| segment			3
Segment Reporting Disclosure [Line Items]
Net sales	$ 96,145	$ 69,981	$ 260,509	$ 193,086
Operating expenses	89,951	66,824	244,483	182,424
Operating income (loss)	6,194	3,157	16,026	10,662
Total non-operating income (expense)	615	(525)	387	(739)
Provision for income taxes	(569)	(494)	(2,298)	(1,588)
Equity-method investment activity, net of tax	91	(4)	(6)	(15)
Net income	6,331	2,134	14,109	8,320	$ 17,377	$ 11,347
North America
Segment Reporting Disclosure [Line Items]
Net sales	59,373	42,638	160,936	117,104
Operating expenses	57,121	41,356	155,232	111,971
Operating income (loss)	2,252	1,282	5,704	5,133
International
Segment Reporting Disclosure [Line Items]
Net sales	25,171	18,348	66,945	50,910
Operating expenses	24,764	18,734	66,590	51,986
Operating income (loss)	407	(386)	355	(1,076)
AWS
Segment Reporting Disclosure [Line Items]
Net sales	11,601	8,995	32,628	25,072
Operating expenses	8,066	6,734	22,661	18,467
Operating income (loss)	$ 3,535	$ 2,261	$ 9,967	$ 6,605

Segment Information - Disaggreg

Segment Information - Disaggregation of Revenue (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Disaggregation of Revenue [Line Items]
Total net sales	$ 96,145	$ 69,981	$ 260,509	$ 193,086
Online stores
Disaggregation of Revenue [Line Items]
Total net sales	48,350	35,039	130,899	95,590
Physical stores
Disaggregation of Revenue [Line Items]
Total net sales	3,788	4,192	12,201	12,829
Third-party seller services
Disaggregation of Revenue [Line Items]
Total net sales	20,436	13,212	53,121	36,316
Subscription services
Disaggregation of Revenue [Line Items]
Total net sales	6,572	4,957	18,146	13,975
AWS
Disaggregation of Revenue [Line Items]
Total net sales	11,601	8,995	32,628	25,072
Other
Disaggregation of Revenue [Line Items]
Total net sales	$ 5,398	$ 3,586	$ 13,514	$ 9,304