diff --git a/Code/Framework/AzCore/AzCore/Serialization/Json/JsonUtils.cpp b/Code/Framework/AzCore/AzCore/Serialization/Json/JsonUtils.cpp
index af35842afc..9498b67e79 100644
--- a/Code/Framework/AzCore/AzCore/Serialization/Json/JsonUtils.cpp
+++ b/Code/Framework/AzCore/AzCore/Serialization/Json/JsonUtils.cpp
@@ -240,11 +240,6 @@ namespace AZ
         {
             IO::SizeType length = stream.GetLength();
 
-            if (length > AZ::Utils::DefaultMaxFileSize)
-            {
-                return AZ::Failure(AZStd::string{ "Data is too large." });
-            }
-
             AZStd::vector<char> memoryBuffer;
             memoryBuffer.resize_no_construct(static_cast<AZStd::vector<char>::size_type>(static_cast<AZStd::vector<char>::size_type>(length) + 1));
 
@@ -259,12 +254,12 @@ namespace AZ
             return ReadJsonString(AZStd::string_view{memoryBuffer.data(), memoryBuffer.size()});
         }
 
-        AZ::Outcome<rapidjson::Document, AZStd::string> ReadJsonFile(AZStd::string_view filePath)
+        AZ::Outcome<rapidjson::Document, AZStd::string> ReadJsonFile(AZStd::string_view filePath, size_t maxFileSize)
         {
             // Read into memory first and then parse the json, rather than passing a file stream to rapidjson.
             // This should avoid creating a large number of micro-reads from the file.
 
-            auto readResult = AZ::Utils::ReadFile<AZStd::string>(filePath);
+            auto readResult = AZ::Utils::ReadFile<AZStd::string>(filePath, maxFileSize);
             if(!readResult.IsSuccess())
             {
                 return AZ::Failure(readResult.GetError());
diff --git a/Code/Framework/AzCore/AzCore/Serialization/Json/JsonUtils.h b/Code/Framework/AzCore/AzCore/Serialization/Json/JsonUtils.h
index c7777feec0..c684d0397a 100644
--- a/Code/Framework/AzCore/AzCore/Serialization/Json/JsonUtils.h
+++ b/Code/Framework/AzCore/AzCore/Serialization/Json/JsonUtils.h
@@ -70,8 +70,10 @@ namespace AZ
         //! Parse json text. Returns a failure with error message if the content is not valid JSON.
         AZ::Outcome<rapidjson::Document, AZStd::string> ReadJsonString(AZStd::string_view jsonText);
 
-        //! Parse a json file. Returns a failure with error message if the content is not valid JSON.
-        AZ::Outcome<rapidjson::Document, AZStd::string> ReadJsonFile(AZStd::string_view filePath);
+        //! Parse a json file. Returns a failure with error message if the content is not valid JSON or if
+        //! the file size is larger than the max file size provided.
+        AZ::Outcome<rapidjson::Document, AZStd::string> ReadJsonFile(
+            AZStd::string_view filePath, size_t maxFileSize = AZStd::numeric_limits<size_t>::max());
 
         //! Parse a json stream. Returns a failure with error message if the content is not valid JSON.
         AZ::Outcome<rapidjson::Document, AZStd::string> ReadJsonStream(IO::GenericStream& stream);
diff --git a/Code/Framework/AzCore/AzCore/Utils/Utils.h b/Code/Framework/AzCore/AzCore/Utils/Utils.h
index e72a9b3f9c..d8d4290f7f 100644
--- a/Code/Framework/AzCore/AzCore/Utils/Utils.h
+++ b/Code/Framework/AzCore/AzCore/Utils/Utils.h
@@ -22,10 +22,6 @@ namespace AZ
 {
     namespace Utils
     {
-        //! Protects from allocating too much memory. The choice of a 1MB threshold is arbitrary.
-        //! If you need to work with larger files, please use AZ::IO directly instead of these utility functions.
-        inline constexpr size_t DefaultMaxFileSize = 1024 * 1024;
-
         //! Terminates the application without going through the shutdown procedure.
         //! This is used when due to abnormal circumstances the application can no
         //! longer continue. On most platforms and in most configurations this will
@@ -115,6 +111,7 @@ namespace AZ
         //! Read a file into a string. Returns a failure with error message if the content could not be loaded or if
         //! the file size is larger than the max file size provided.
         template<typename Container = AZStd::string>
-        AZ::Outcome<Container, AZStd::string> ReadFile(AZStd::string_view filePath, size_t maxFileSize = DefaultMaxFileSize);
+        AZ::Outcome<Container, AZStd::string> ReadFile(
+            AZStd::string_view filePath, size_t maxFileSize = AZStd::numeric_limits<size_t>::max());
     }
 }
diff --git a/Gems/Atom/Asset/Shader/Code/Source/Editor/AzslCompiler.cpp b/Gems/Atom/Asset/Shader/Code/Source/Editor/AzslCompiler.cpp
index 154bfdd607..a82c731d7b 100644
--- a/Gems/Atom/Asset/Shader/Code/Source/Editor/AzslCompiler.cpp
+++ b/Gems/Atom/Asset/Shader/Code/Source/Editor/AzslCompiler.cpp
@@ -17,6 +17,7 @@
 #include <Atom/RHI.Edit/ShaderPlatformInterface.h>
 #include <Atom/RHI.Edit/Utils.h>
 
+#include <Atom/RPI.Edit/Common/JsonUtils.h>
 #include <Atom/RPI.Reflect/Shader/ShaderOptionGroupLayout.h>
 
 #include <AzCore/Serialization/Json/JsonUtils.h>
@@ -1149,7 +1150,7 @@ namespace AZ
                 return BuildResult::CompilationFailed;
             }
 
-            auto readJsonResult = JsonSerializationUtils::ReadJsonFile(outputFile);
+            auto readJsonResult = JsonSerializationUtils::ReadJsonFile(outputFile, AZ::RPI::JsonUtils::AtomMaxFileSize);
 
             if (readJsonResult.IsSuccess())
             {
@@ -1170,7 +1171,7 @@ namespace AZ
             AZStd::string outputFile = m_inputFilePath;
             AzFramework::StringFunc::Path::ReplaceExtension(outputFile, outputExtension);
 
-            auto readJsonResult = JsonSerializationUtils::ReadJsonFile(outputFile);
+            auto readJsonResult = JsonSerializationUtils::ReadJsonFile(outputFile, AZ::RPI::JsonUtils::AtomMaxFileSize);
 
             if (readJsonResult.IsSuccess())
             {
diff --git a/Gems/Atom/Asset/Shader/Code/Source/Editor/ShaderAssetBuilder.cpp b/Gems/Atom/Asset/Shader/Code/Source/Editor/ShaderAssetBuilder.cpp
index 9ee4ff2161..6b673759cf 100644
--- a/Gems/Atom/Asset/Shader/Code/Source/Editor/ShaderAssetBuilder.cpp
+++ b/Gems/Atom/Asset/Shader/Code/Source/Editor/ShaderAssetBuilder.cpp
@@ -20,6 +20,7 @@
 #include <Atom/RHI.Edit/ShaderPlatformInterface.h>
 #include <Atom/RPI.Edit/Common/JsonReportingHelper.h>
 #include <Atom/RPI.Edit/Common/AssetUtils.h>
+#include <Atom/RPI.Edit/Common/JsonUtils.h>
 #include <Atom/RHI.Reflect/ConstantsLayout.h>
 #include <Atom/RHI.Reflect/PipelineLayoutDescriptor.h>
 #include <Atom/RHI.Reflect/ShaderStageFunction.h>
@@ -555,7 +556,7 @@ namespace AZ
                         shaderAssetCreator.SetRenderStates(renderStates);
                     }
 
-                    Outcome<AZStd::string, AZStd::string> hlslSourceCodeOutcome = Utils::ReadFile(hlslFullPath);
+                    Outcome<AZStd::string, AZStd::string> hlslSourceCodeOutcome = Utils::ReadFile(hlslFullPath, AZ::RPI::JsonUtils::AtomMaxFileSize);
                     if (!hlslSourceCodeOutcome.IsSuccess())
                     {
                         AZ_Error(
diff --git a/Gems/Atom/Asset/Shader/Code/Source/Editor/ShaderBuilderUtility.cpp b/Gems/Atom/Asset/Shader/Code/Source/Editor/ShaderBuilderUtility.cpp
index 78a3f1057a..9c616569bd 100644
--- a/Gems/Atom/Asset/Shader/Code/Source/Editor/ShaderBuilderUtility.cpp
+++ b/Gems/Atom/Asset/Shader/Code/Source/Editor/ShaderBuilderUtility.cpp
@@ -25,6 +25,7 @@
 
 #include <Atom/RPI.Edit/Common/JsonReportingHelper.h>
 #include <Atom/RPI.Edit/Common/AssetUtils.h>
+#include <Atom/RPI.Edit/Common/JsonUtils.h>
 #include <Atom/RPI.Reflect/Shader/ShaderAsset.h>
 #include <Atom/RPI.Reflect/Shader/ShaderOptionGroup.h>
 
@@ -51,7 +52,7 @@ namespace AZ
             {
                 RPI::ShaderSourceData shaderSourceData;
 
-                auto document = JsonSerializationUtils::ReadJsonFile(fullPathToJsonFile);
+                auto document = JsonSerializationUtils::ReadJsonFile(fullPathToJsonFile, AZ::RPI::JsonUtils::AtomMaxFileSize);
 
                 if (!document.IsSuccess())
                 {
@@ -127,7 +128,7 @@ namespace AZ
                 AZStd::unordered_map<int, Outcome<rapidjson::Document, AZStd::string>> outcomes;
                 for (int i : indicesOfInterest)
                 {
-                    outcomes[i] = JsonSerializationUtils::ReadJsonFile(pathOfJsonFiles[i]);
+                    outcomes[i] = JsonSerializationUtils::ReadJsonFile(pathOfJsonFiles[i], AZ::RPI::JsonUtils::AtomMaxFileSize);
                     if (!outcomes[i].IsSuccess())
                     {
                         AZ_Error(builderName, false, "%s", outcomes[i].GetError().c_str());
@@ -622,7 +623,7 @@ namespace AZ
                 StructData inputStruct;
                 inputStruct.m_id = "";
 
-                auto jsonOutcome = JsonSerializationUtils::ReadJsonFile(pathToIaJson);
+                auto jsonOutcome = JsonSerializationUtils::ReadJsonFile(pathToIaJson, AZ::RPI::JsonUtils::AtomMaxFileSize);
                 if (!jsonOutcome.IsSuccess())
                 {
                     AZ_Error(ShaderBuilderUtilityName, false, "%s", jsonOutcome.GetError().c_str());
@@ -715,7 +716,7 @@ namespace AZ
                 StructData outputStruct;
                 outputStruct.m_id = "";
 
-                auto jsonOutcome = JsonSerializationUtils::ReadJsonFile(pathToOmJson);
+                auto jsonOutcome = JsonSerializationUtils::ReadJsonFile(pathToOmJson, AZ::RPI::JsonUtils::AtomMaxFileSize);
                 if (!jsonOutcome.IsSuccess())
                 {
                     AZ_Error(ShaderBuilderUtilityName, false, "%s", jsonOutcome.GetError().c_str());
diff --git a/Gems/Atom/Asset/Shader/Code/Source/Editor/ShaderVariantAssetBuilder.cpp b/Gems/Atom/Asset/Shader/Code/Source/Editor/ShaderVariantAssetBuilder.cpp
index 12e5382b63..5a552a2702 100644
--- a/Gems/Atom/Asset/Shader/Code/Source/Editor/ShaderVariantAssetBuilder.cpp
+++ b/Gems/Atom/Asset/Shader/Code/Source/Editor/ShaderVariantAssetBuilder.cpp
@@ -478,7 +478,7 @@ namespace AZ
             RPI::Ptr<RPI::ShaderOptionGroupLayout> shaderOptionGroupLayout = RPI::ShaderOptionGroupLayout::Create();
             // The shader options define what options are available, what are the allowed values/range
             // for each option and what is its default value.
-            auto jsonOutcome = JsonSerializationUtils::ReadJsonFile(optionsGroupJsonPath);
+            auto jsonOutcome = JsonSerializationUtils::ReadJsonFile(optionsGroupJsonPath, AZ::RPI::JsonUtils::AtomMaxFileSize);
             if (!jsonOutcome.IsSuccess())
             {
                 AZ_Error(ShaderVariantAssetBuilderName, false, "%s", jsonOutcome.GetError().c_str());
@@ -509,7 +509,7 @@ namespace AZ
             }
 
             auto functionsJsonPath = functionsJsonPathOutcome.TakeValue();
-            auto jsonOutcome = JsonSerializationUtils::ReadJsonFile(functionsJsonPath);
+            auto jsonOutcome = JsonSerializationUtils::ReadJsonFile(functionsJsonPath, AZ::RPI::JsonUtils::AtomMaxFileSize);
             if (!jsonOutcome.IsSuccess())
             {
                 AZ_Error(ShaderVariantAssetBuilderName, false, "%s", jsonOutcome.GetError().c_str());
@@ -541,7 +541,7 @@ namespace AZ
             }
 
             auto srgJsonPath = srgJsonPathOutcome.TakeValue();
-            auto jsonOutcome = JsonSerializationUtils::ReadJsonFile(srgJsonPath);
+            auto jsonOutcome = JsonSerializationUtils::ReadJsonFile(srgJsonPath, AZ::RPI::JsonUtils::AtomMaxFileSize);
             if (!jsonOutcome.IsSuccess())
             {
                 AZ_Error(ShaderVariantAssetBuilderName, false, "%s", jsonOutcome.GetError().c_str());
@@ -598,7 +598,7 @@ namespace AZ
             }
     
             auto bindingsJsonPath = bindingsJsonPathOutcome.TakeValue();
-            auto jsonOutcome = JsonSerializationUtils::ReadJsonFile(bindingsJsonPath);
+            auto jsonOutcome = JsonSerializationUtils::ReadJsonFile(bindingsJsonPath, AZ::RPI::JsonUtils::AtomMaxFileSize);
             if (!jsonOutcome.IsSuccess())
             {
                 AZ_Error(ShaderVariantAssetBuilderName, false, "%s", jsonOutcome.GetError().c_str());
@@ -630,7 +630,7 @@ namespace AZ
             }
 
             hlslSourcePath = hlslSourcePathOutcome.TakeValue();
-            Outcome<AZStd::string, AZStd::string> hlslSourceOutcome = Utils::ReadFile(hlslSourcePath);
+            Outcome<AZStd::string, AZStd::string> hlslSourceOutcome = Utils::ReadFile(hlslSourcePath, AZ::RPI::JsonUtils::AtomMaxFileSize);
             if (!hlslSourceOutcome.IsSuccess())
             {
                 AZ_Error(
diff --git a/Gems/Atom/RPI/Code/Include/Atom/RPI.Edit/Common/JsonUtils.h b/Gems/Atom/RPI/Code/Include/Atom/RPI.Edit/Common/JsonUtils.h
index 1a62e1753c..913a9702b1 100644
--- a/Gems/Atom/RPI/Code/Include/Atom/RPI.Edit/Common/JsonUtils.h
+++ b/Gems/Atom/RPI/Code/Include/Atom/RPI.Edit/Common/JsonUtils.h
@@ -20,6 +20,10 @@ namespace AZ
     {
         namespace JsonUtils
         {
+            //! Protects from allocating too much memory. The choice of a 1MB threshold is arbitrary.
+            //! If you need to work with larger files, please use AZ::IO directly instead of these utility functions.
+            inline constexpr size_t AtomMaxFileSize = 1024 * 1024;
+
             // Declarations...
 
             //! Loads serialized object data from a json file at the specified path
@@ -39,7 +43,7 @@ namespace AZ
             {
                 objectData = ObjectType();
 
-                auto loadOutcome = AZ::JsonSerializationUtils::ReadJsonFile(path);
+                auto loadOutcome = AZ::JsonSerializationUtils::ReadJsonFile(path, AtomMaxFileSize);
                 if (!loadOutcome.IsSuccess())
                 {
                     AZ_Error("AZ::RPI::JsonUtils", false, "%s", loadOutcome.GetError().c_str());
diff --git a/Gems/Atom/RPI/Code/Source/RPI.Builders/Material/MaterialBuilder.cpp b/Gems/Atom/RPI/Code/Source/RPI.Builders/Material/MaterialBuilder.cpp
index b8fc9b170f..62e078c628 100644
--- a/Gems/Atom/RPI/Code/Source/RPI.Builders/Material/MaterialBuilder.cpp
+++ b/Gems/Atom/RPI/Code/Source/RPI.Builders/Material/MaterialBuilder.cpp
@@ -13,6 +13,7 @@
 #include <Atom/RPI.Edit/Common/AssetUtils.h>
 #include <Atom/RPI.Edit/Common/JsonFileLoadContext.h>
 #include <Atom/RPI.Edit/Common/JsonReportingHelper.h>
+#include <Atom/RPI.Edit/Common/JsonUtils.h>
 #include <AzCore/Serialization/Json/JsonUtils.h>
 
 #include <Atom/RPI.Reflect/Image/StreamingImageAsset.h>
@@ -151,7 +152,7 @@ namespace AZ
                 AZStd::string fullSourcePath;
                 AzFramework::StringFunc::Path::ConstructFull(request.m_watchFolder.data(), request.m_sourceFile.data(), fullSourcePath, true);
 
-                auto loadOutcome = JsonSerializationUtils::ReadJsonFile(fullSourcePath);
+                auto loadOutcome = JsonSerializationUtils::ReadJsonFile(fullSourcePath, AZ::RPI::JsonUtils::AtomMaxFileSize);
                 if (!loadOutcome.IsSuccess())
                 {
                     AZ_Error(MaterialBuilderName, false, "%s", loadOutcome.GetError().c_str());
@@ -298,7 +299,7 @@ namespace AZ
             AZStd::string fullSourcePath;
             AzFramework::StringFunc::Path::ConstructFull(request.m_watchFolder.data(), request.m_sourceFile.data(), fullSourcePath, true);
 
-            auto loadOutcome = JsonSerializationUtils::ReadJsonFile(fullSourcePath);
+            auto loadOutcome = JsonSerializationUtils::ReadJsonFile(fullSourcePath, AZ::RPI::JsonUtils::AtomMaxFileSize);
             if (!loadOutcome.IsSuccess())
             {
                 AZ_Error(MaterialBuilderName, false, "Failed to load material file: %s", loadOutcome.GetError().c_str());
diff --git a/Gems/Atom/RPI/Code/Source/RPI.Edit/Material/MaterialSourceDataSerializer.cpp b/Gems/Atom/RPI/Code/Source/RPI.Edit/Material/MaterialSourceDataSerializer.cpp
index 307d2bb80f..6f68115ccb 100644
--- a/Gems/Atom/RPI/Code/Source/RPI.Edit/Material/MaterialSourceDataSerializer.cpp
+++ b/Gems/Atom/RPI/Code/Source/RPI.Edit/Material/MaterialSourceDataSerializer.cpp
@@ -10,6 +10,7 @@
 #include <Atom/RPI.Edit/Material/MaterialTypeSourceData.h>
 #include <Atom/RPI.Edit/Common/AssetUtils.h>
 #include <Atom/RPI.Edit/Common/JsonFileLoadContext.h>
+#include <Atom/RPI.Edit/Common/JsonUtils.h>
 #include <AzCore/Serialization/Json/JsonUtils.h>
 
 #include <AzCore/Serialization/Json/BaseJsonSerializer.h>
@@ -67,7 +68,7 @@ namespace AZ
             {
                 AZStd::string materialTypePath = AssetUtils::ResolvePathReference(jsonFileLoadContext->GetFilePath(), materialSourceData->m_materialType);
 
-                auto materialTypeJson = JsonSerializationUtils::ReadJsonFile(materialTypePath);
+                auto materialTypeJson = JsonSerializationUtils::ReadJsonFile(materialTypePath, AZ::RPI::JsonUtils::AtomMaxFileSize);
                 if (!materialTypeJson.IsSuccess())
                 {
                     AZStd::string failureMessage;
diff --git a/Gems/Atom/RPI/Code/Source/RPI.Edit/Material/MaterialUtils.cpp b/Gems/Atom/RPI/Code/Source/RPI.Edit/Material/MaterialUtils.cpp
index 0c2e9dca1f..80b292ea9b 100644
--- a/Gems/Atom/RPI/Code/Source/RPI.Edit/Material/MaterialUtils.cpp
+++ b/Gems/Atom/RPI/Code/Source/RPI.Edit/Material/MaterialUtils.cpp
@@ -15,6 +15,7 @@
 #include <Atom/RPI.Edit/Material/MaterialTypeSourceData.h>
 #include <Atom/RPI.Edit/Common/JsonReportingHelper.h>
 #include <Atom/RPI.Edit/Common/JsonFileLoadContext.h>
+#include <Atom/RPI.Edit/Common/JsonUtils.h>
 #include <AzCore/Serialization/Json/JsonUtils.h>
 
 #include <AzCore/std/string/string.h>
@@ -64,7 +65,7 @@ namespace AZ
                 AZ::Outcome<rapidjson::Document, AZStd::string> loadOutcome;
                 if (document == nullptr)
                 {
-                    loadOutcome = AZ::JsonSerializationUtils::ReadJsonFile(filePath);
+                    loadOutcome = AZ::JsonSerializationUtils::ReadJsonFile(filePath, AZ::RPI::JsonUtils::AtomMaxFileSize);
                     if (!loadOutcome.IsSuccess())
                     {
                         AZ_Error("AZ::RPI::JsonUtils", false, "%s", loadOutcome.GetError().c_str());
diff --git a/Gems/AtomLyIntegration/AtomBridge/Code/Source/Editor/AssetCollectionAsyncLoaderTestComponent.cpp b/Gems/AtomLyIntegration/AtomBridge/Code/Source/Editor/AssetCollectionAsyncLoaderTestComponent.cpp
index bbf1ad9059..8270901b6b 100644
--- a/Gems/AtomLyIntegration/AtomBridge/Code/Source/Editor/AssetCollectionAsyncLoaderTestComponent.cpp
+++ b/Gems/AtomLyIntegration/AtomBridge/Code/Source/Editor/AssetCollectionAsyncLoaderTestComponent.cpp
@@ -16,6 +16,7 @@
 #include <AzCore/Serialization/Json/JsonUtils.h>
 
 // Included so we can deduce the asset type from asset paths.
+#include <Atom/RPI.Edit/Common/JsonUtils.h>
 #include <Atom/RPI.Reflect/Shader/ShaderAsset.h>
 #include <Atom/RPI.Reflect/Model/ModelAsset.h>
 #include <Atom/RPI.Reflect/Image/StreamingImageAsset.h>
@@ -114,7 +115,7 @@ namespace AZ
         {
             rapidjson::Document jsonDoc;
 
-            auto readJsonResult = JsonSerializationUtils::ReadJsonFile(pathToAssetListJson);
+            auto readJsonResult = JsonSerializationUtils::ReadJsonFile(pathToAssetListJson, AZ::RPI::JsonUtils::AtomMaxFileSize);
 
             if (!readJsonResult.IsSuccess())
             {