Amazon Dethrones Walmart After 13 Years at No. 1, Becomes World’s Largest Company by Annual Sales

Amazon has officially surpassed Walmart to become the world’s largest company by annual revenue, marking a major shift in global retail and technology leadership. The change follows Walmart’s latest full-year earnings announcement on 19 February 2026, which confirmed that its sales fell just short of Amazon’s previously reported 2025 revenue.

The development is significant because Walmart has dominated the top spot on the Fortune 500 ranking for more than a decade. The updated list is expected in June 2026, and based on reported figures, Amazon is set to claim the number one position.

Revenue Comparison 2026: Amazon vs Walmart – Full-Year Figures Explained

Walmart reported full-year revenue of $713.2 billion for the fiscal year ending 31 January 2026. This represented a 4.7% increase year on year and marked a record high for the retailer.

Earlier this month, Amazon disclosed its 2025 full-year revenue of $716.9 billion, placing it narrowly ahead by roughly $3.7 billion.

While the gap is small, it is enough to shift the ranking. Walmart has held the top Fortune 500 position for 13 consecutive years and for 21 of the last 24 years overall. This is the first time Amazon has moved ahead in annual sales.

The long-term trend highlights how dramatic the shift has been. In 2010, Walmart generated about $422 billion in revenue, compared to Amazon’s $34.2 billion at the time. Over the past decade, Amazon’s growth rate has significantly outpaced Walmart’s, particularly between 2018 and 2025.

How Amazon Built Its Lead: Cloud, Prime and AI Investments

Founded in 1994 as an online bookstore, Amazon expanded steadily into new sectors. Two major drivers helped it scale beyond traditional retail.

First, Amazon Prime, launched in 2005, strengthened customer loyalty through faster delivery and digital services. Prime now reportedly has around 180 million members in the United States, supporting repeat purchases and subscription revenue.

Second, Amazon Web Services (AWS), launched in 2006, transformed the company’s earnings profile. In 2025, AWS generated $128.7 billion in revenue, accounting for roughly 18% of total sales but contributing a large share of operating profits. Cloud demand has been boosted further by artificial intelligence infrastructure needs.

Amazon also continues to dominate US e-commerce, holding around 40% of the online retail market. Beyond retail and cloud, it has expanded into advertising, logistics, streaming and AI-driven tools.

Under leadership transitions from Jeff Bezos to Andy Jassy, the company has maintained a strong focus on long-term technology investment. Reports suggest Amazon plans substantial capital expenditure in 2026 to expand data centres, chips and robotics tied to AI growth.

Walmart’s Response: Strong Sales Growth and Expanding E-Commerce

Walmart, founded in 1962, remains a retail powerhouse despite losing the top revenue position.

Under CEO Doug McMillon and Walmart US CEO John Furner, the company has accelerated its digital push. Annual online sales are now estimated at around $120 billion, making Walmart the second-largest e-commerce player behind Amazon.

In its latest US quarter, Walmart’s e-commerce sales grew by approximately 27%, supported by store-based fulfilment and grocery delivery. Its network of more than 10,000 stores remains a key advantage, particularly in food and essential goods.

Walmart has also expanded into digital advertising, third-party marketplaces and AI-powered tools, including shopping assistants and automation in supply chains. Its share price has recently reached record levels, pushing its market capitalisation above $1 trillion.

What This Leadership Shift Means for Global Retail

It is important to note that revenue leadership does not automatically mean higher profitability or market value. Both companies remain financially strong and operate in slightly different business models.

Amazon’s diversified revenue streams, especially cloud computing, provide higher-margin growth. Walmart continues to lead in physical retail and grocery sales across the United States.

The rivalry between the two has reshaped global commerce over the past decade. As digital services, AI infrastructure and hybrid retail models expand, both firms are likely to remain central players.

For now, however, the numbers are clear: Amazon has edged ahead, and the 2026 Fortune 500 ranking is set to reflect a new revenue leader in the global corporate landscape.