thecleaner is mostly correct. One of the reasons Amazon spent so much over the years was to reduce the amount paid in taxes. So instead of "inflate expenses" i

thecleaner is mostly correct. One of the reasons Amazon spent so much over the years was to reduce the amount paid in taxes. So instead of "inflate expenses" it's really "reinvest". For example, there are specific tax credits for R&D, which can include software if documented properly.