PepsiCo and AWS Collaborate to Accelerate Digital Transformation

Rhea-AI Summary

PepsiCo (NASDAQ: PEP) has announced a strategic, multi-year cloud partnership with Amazon Web Services (AWS) to accelerate its enterprise-wide digital transformation. The collaboration focuses on leveraging AWS's infrastructure for AI innovation, supply chain optimization, and enhanced consumer experiences.

Key initiatives include cloud migration of applications and workloads, integration of PepsiCo's internal generative AI platform (PepGenX) with Amazon Bedrock, development of real-time advertising insights, and implementation of digital supply chain capabilities. The partnership aims to improve operational efficiencies and enable PepsiCo to build, test, and deploy new technologies rapidly across its global operations.

Positive

• Strategic partnership with AWS enhances PepsiCo's technological capabilities and operational efficiency
• Integration with Amazon Bedrock strengthens PepsiCo's internal generative AI platform
• Access to real-time advertising insights and targeted marketing capabilities
• Potential operational cost savings through predictive maintenance and supply chain optimization

Negative

• Significant investment required for cloud migration and IT modernization
• Potential operational disruptions during the transition period
• Increased dependency on a single cloud service provider

PepsiCo selects AWS as a strategic cloud provider for AI, supply chain and consumer experience.

PURCHASE, N.Y., May 7, 2025 /PRNewswire/ -- PepsiCo, Inc. (NASDAQ: PEP) today announced a strategic, multi-year agreement with Amazon Web Services (AWS), an Amazon.com, Inc. company (NASDAQ: AMZN), reinforcing its commitment to accelerating enterprise-wide digital transformation. By leveraging AWS's infrastructure and services, PepsiCo is driving faster AI innovation, transforming its supply chain and go-to-market strategies, and creating deeper, more personalized experiences with consumers.

"A cloud-first approach has been essential to PepsiCo's ongoing digital transformation," said Athina Kanioura, Executive Vice President, Chief Strategy and Transformation Officer at PepsiCo. "This strategic collaboration will strengthen our mature cloud strategy and unlock new levels of agility, intelligence, and scalability across the company."

The partnership spans PepsiCo's global organization and lines of business. AWS, including its Professional Services team, is working with PepsiCo on a wide range of initiatives, including:

• Cloud migration and IT modernization: PepsiCo is migrating applications and workloads to AWS. As PepsiCo continues its cloud-first journey, this will effectively position the company to quickly build, test, iterate, and implement new technologies and capabilities for its customers and employees.
• Generative AI: AWS has enhanced the flexibility and capability of PepsiCo's internal generative AI platform, PepGenX, by integrating it with Amazon Bedrock. This provides PepsiCo developers and technical teams a choice of multi-modal foundation models and Agentic AI capabilities to build applications and enable strategic Generative AI use cases on AWS.
• Driving Greater Consumer Connection: PepsiCo is leveraging AWS to further enable real-time insights into advertising performance, audience segmentation, hyper-personalized content, and targeted marketing capabilities across Amazon customers and audiences.
• Transforming Global Operations: AWS and PepsiCo are scoping the opportunities of end-to-end digital supply chain capabilities, including predictive maintenance for both manufacturing and logistics operations, to realize greater operational efficiencies and resiliency across PepsiCo's global network of manufacturing and distribution facilities.

"Consumer packaged goods companies need to continuously innovate to meet the evolving expectations of consumers," said Matt Garman, CEO at AWS.  "With AWS, PepsiCo is applying AI and using cloud services across their organization to deliver more personalized consumer experiences, optimize supply chains, and build new operational capabilities. We're proud to support PepsiCo as they innovate to serve billions of consumers worldwide." 

About PepsiCo

PepsiCo products are enjoyed by consumers more than one billion times a day in more than 200 countries and territories around the world. PepsiCo generated nearly $92 billion in net revenue in 2024, driven by a complementary beverage and convenient foods portfolio that includes Lay's, Doritos, Cheetos, Gatorade, Pepsi-Cola, Mountain Dew, Quaker, and SodaStream. PepsiCo's product portfolio includes a wide range of enjoyable foods and beverages, including many iconic brands that generate more than $1 billion each in estimated annual retail sales.

Guiding PepsiCo is our vision to Be the Global Leader in Beverages and Convenient Foods by Winning with pep+ (PepsiCo Positive). pep+ is our strategic end-to-end transformation that puts sustainability and human capital at the center of how we will create value and growth by operating within planetary boundaries and inspiring positive change for planet and people. For more information, visit www.pepsico.com, and follow on X (Twitter), Instagram, Facebook, and LinkedIn @PepsiCo.

Media Contact

MediaRelations@pepsico.com

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SOURCE PepsiCo, Inc.

FAQ

What is the purpose of PepsiCo's partnership with AWS?

PepsiCo partnered with AWS to accelerate its enterprise-wide digital transformation, focusing on AI innovation, supply chain optimization, and enhanced consumer experiences through cloud services.

How will PepsiCo (PEP) use AWS's generative AI capabilities?

PepsiCo will integrate its internal generative AI platform, PepGenX, with Amazon Bedrock to provide developers access to multi-modal foundation models and Agentic AI capabilities for building applications.

What operational improvements will PepsiCo achieve through the AWS partnership?

The partnership will enable predictive maintenance for manufacturing and logistics, digital supply chain capabilities, and greater operational efficiencies across PepsiCo's global network of facilities.

How will the AWS collaboration affect PepsiCo's marketing capabilities?

The partnership will provide PepsiCo with real-time insights into advertising performance, audience segmentation, hyper-personalized content, and targeted marketing capabilities across Amazon customers.

What is PepsiCo's cloud migration strategy with AWS?

PepsiCo is migrating applications and workloads to AWS as part of its cloud-first journey, enabling faster building, testing, and implementation of new technologies for customers and employees.