Andy Jassy, Amazon AWS
Amazon announced Thursday that its market-leading cloud business grew revenue 32% in the first quarter, a faster pace than analysts expected, and accelerated from 28% in the fourth quarter.
The Amazon Web Services division is critical to Amazon’s expansion plans because of its profitability. It appeared in 2006 ahead of competitors such as Microsoft Azure and Google Cloud Platform and has now grown to become a force in information technology as the world’s leading software provider, surpassing Oracle and SAP.
The AWS entity had sales of $ 13.50 billion, more than the consensus estimate of $ 13.23 billion among analysts surveyed by FactSet. That was 12% of Amazon’s total sales.
AWS plays a vital role at Amazon as the most reliable source of income. For the first quarter, AWS contributed $ 4.16 billion to operating income, above the FactSet consensus estimate of $ 3.87 billion and nearly 47% of Amazon’s total operating income. The operation …