:max_bytes(150000):strip_icc()/GettyImages-1248364818-d6f6d28199d740a4a1e87b6009099772.jpg?w=1500&resize=1500,1002&ssl=1 "The Revenue Streams of Amazon")
Amazon, the world’s largest online retailer, has rapidly expanded across various businesses, including e-commerce, cloud services, and digital advertising. With products like Alexa, Kindle, and Prime Video, Amazon competes with Walmart and Alibaba. The company generates revenue through retail, subscriptions, and web services. Retail remains its primary income source, while Amazon Web Services (AWS) is the fastest-growing segment. AWS recently introduced new AI certifications to help professionals stay competitive.
In the first quarter of 2024, Amazon reported net sales of $143.3 billion and net income of $10.4 billion, attributed to increased sales and controlled expenses. The company divides its operations into North America, International, and AWS segments, with North America being the largest contributor. The North America segment saw $86.3 billion in sales, representing a 12% increase. The International segment generated $31.9 billion in sales, accounting for 22% of total net sales. AWS earned $25 billion in net sales, making up 18% of Amazon’s total revenue.
AWS, launched in 2006, offers cloud services to various organizations, surpassing competitors like Microsoft Azure and Google Cloud. Amazon’s efforts in healthcare include Amazon Pharmacy and the recent introduction of AI certifications through AWS. Amazon also established the Counterfeit Crimes Unit (CCU) to combat illegal online practices.
Amazon’s commitment to diversity and inclusion is highlighted through its data disclosure on the diversity of its board, senior executives, and employees. The company emphasizes transparency and social responsibility in its reports. Amazon’s core business revolves around retail, subscriptions, and cloud services, with a focus on providing diverse and inclusive offerings to appeal to a wide audience. As one of the largest companies globally, Amazon continues to expand its reach and dominate the retail landscape in the digital age.
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https://www.investopedia.com/how-amazon-makes-money-4587523