PepsiCo has announced a multiyear strategic partnership with Amazon Web Services (AWS) to supercharge its digital transformation journey, with a sharp focus on IT modernization, cloud migration, and generative AI capabilities.
As part of the initiative, PepsiCo will migrate applications and workloads to AWS to build, test, and scale digital solutions designed for both employees and customers. The goal: sharper real-time insights, increased operational efficiency, and greater business agility.
The beverage and snack major has already integrated its internal generative AI platform, PepGenX, with Amazon Bedrock—AWS’s AI model hosting service—enabling faster development cycles and improved application flexibility.
“This strategic collaboration will strengthen our mature cloud strategy and unlock new levels of agility, intelligence, and scalability across the company,” said Athina Kanioura, PepsiCo’s EVP and chief strategy and transformation officer.
PepsiCo CEO Ramon Laguarta previously emphasized the company’s ambition to deploy data and AI at scale. “Five years ago, our data wasn’t organized in a way that empowered employees. That’s no longer the case,” he said, referencing the foundational tech investments the company has made to support innovation.
The expanded cloud infrastructure will also require careful cost management, especially as enterprises across industries contend with soaring cloud bills amid aggressive AI adoption. A recent industry report found that nearly 75% of IT professionals attributed rising cloud costs to the AI boom.
As consumer spending slows and macroeconomic pressures mount, companies are scrutinizing big-ticket technology investments. However, PepsiCo’s continued push signals confidence in the long-term value of digital transformation.