Amazon Web Services: we had lots of excess capacity..


Real fun to read this interview to Werner Vogels – he puts in perspective that technology is not only central to tech companies, but can represent the success factor for other industries (retail for Amazon). Oh yeah.
And that… their approach to cloud computing was the by product of a strategic investment to support their original business, and the extra quick increase in capacity demand of the Xmas season. LOL.

Now that AWS is a self-standing business, and I might say one of the most successful cloud platforms so far, it will be interesting to see if Amazon will continue investing in it, or what role it will play in the overall Amazon strategy, which is of course (and rightfully so) still very centered on retail. 

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About cmalaguzzi

I am a Mktg and Biz Dev Exec, with a passion for technology. Love to spend time on IT strategy, innovation, partner ecosystems, business productivity.
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One Response to Amazon Web Services: we had lots of excess capacity..

  1. wernervogels says:

    That piece of the report is incorrect and I actually had said the opposite during my presentation. I had talked during my presentation about how inefficient non-cloud architectures are in dealing peak performance during the holiday season, but there is no connection between that side of capacity management and the start of the AWS business. It was alway a business by itself. Actually within 2 months after launch AWS would have already burned through any excess Amazon.com capacity which would have been no basis to start a business. Which I explained clearly during Q&A but unfortunately the inverse ended up in the story.

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