with up to $8 billion in generators for the tech giant's data centers.
According to a recent securities filing, the deal also includes the issuance of a warrant that allows Amazon to acquire a stake of up to 2.6% in Generac.
Following the announcement, Generac's share price increased by as much as 45% in after-market trading.
The partnership highlights the intensifying pressure on AI infrastructure as major technology companies rush to secure the hardware necessary to manage surging electricity needs.
To maintain the continuous operation of facilities dedicated to artificial intelligence, firms are increasingly forming deep financial ties with energy equipment providers.
This strategy ensures a stable supply of backup power systems essential for high-capacity computing environments.
This arrangement mirrors a growing industry trend of linking supply contracts with equity opportunities.
For example, Oracle took a similar stake in the fuel-cell manufacturer Bloom Energy earlier this year.
By granting Amazon a warrant—a financial instrument that provides the right to buy shares at a specific price—Generac secures a massive long-term customer while Amazon gains a direct interest in the success of its critical infrastructure partner.