CEO Bezos Says Amazon Cloud Business Outpacing Its E-Tail Business

By | April 6, 2016

Scalper1 News

After 10 years, Amazon Web Services, the company’s cloud computing division, is a $10 billion business, Amazon.com ( AMZN ) CEO Jeff Bezos wrote in a letter to shareholders Tuesday. Though the $10 billion figure is not new — the firm’s Q4 AWS sales suggested a run-rate of $10 billion — it is the first time that Bezos has offered AWS guidance for 2016. Bezos also said in the shareholder letter, contained in the company’s 8-K filing with the SEC, that AWS is larger than Amazon was at the same stage in its history. “Over time, it’s likely that most companies will choose not to run their own data centers, opting for the cloud instead,” Bezos wrote. Amazon stock was up nearly 2%, near 597, in afternoon trading on the stock market today . The company has an IBD Composite Rating of 77, where 99 is the highest. AWS dwarfs rival Microsoft ( MSFT ), which has been fighting to make gains in the cloud market. Alphabet ( GOOGL )-run Google is a distant third in market share. At its GPU technology conference in San Jose, Calif., this week, chipmaker Nvidia ( NVDA ) announced several new pieces of hardware targeted at cloud computing. Scalper1 News

Scalper1 News