Andy Jassy said Amazon's massive spending on artificial intelligence isn't something investors should fear — it's exactly why they'll be rewarded over time.

"We believe that AI is the biggest technology transformation in our lifetimes," the CEO said on " Mad Money ." "It's going to reinvent every single customer experience we know and altogether new ones we never imagined."

In February, Amazon announced plans to invest $200 billion this year in capital expenditures, largely tied to AI infrastructure. The disclosure alongside fourth-quarter earnings sent shares tumbling. It took roughly two months for the stock to erase all of its post-earnings declines in early April. It has kept climbing higher since then, setting a new record close Monday.

The crux of the debate surrounding the stock: Will Amazon be able to generate meaningful returns from all this spending?…