In May 2023, during Amazon’s annual shareholder meeting, CEO Andy Jassy was asked about the company’s innovation in generative artificial intelligence. Jassy mentioned that Amazon Web Services (AWS) was developing its own AI products under the leadership of Adam Selipsky. However, Selipsky recently announced that he would be stepping down as CEO of AWS and would be replaced by Matt Garman, an experienced executive within the company.
Despite Amazon’s significant investments in AI and cloud computing, the company has been facing challenges in emerging as a leader in generative AI. The growth of AWS has slowed down to 13% in 2023, reflecting a more conservative spending approach by businesses on IT and cloud services. Additionally, Amazon has undergone layoffs within AWS and is facing increased competition from other cloud providers such as Microsoft and Google.
The transition in leadership at AWS comes at a time when major tech companies are making advances in AI. OpenAI and Google have recently launched new AI models, while Microsoft has introduced AI-powered computers. Despite these challenges, Amazon remains optimistic about its future in AI and cloud computing.
Matt Garman, the new CEO of AWS, is seen as a technical and respected leader within the company. Amazon’s stock has been performing well, with an increase in share prices and positive financial results. While the company faces challenges in the competitive AI landscape, the transition in leadership at AWS is seen as a natural progression to drive further growth and innovation within the company.
Article Source
https://www.cnbc.com/2024/05/23/amazons-new-cloud-boss-inherits-a-business-at-crossroads-over-ai.html
