AWS continues to generate significant operating profits for Amazon. During a recent conference call, the giant retailer disclosed the earnings obtained by its most profitable subdivision in the second fiscal quarter of 2016. In that period, AWS revenues reached an incredible level of US$ 2.9 billion , well above the figure registered in the second quarter of 2015, of US$ 1.8 billion.

According to Brian Olsavsky, CFO of Amazon, there are three factors that have contributed to the increase in AWS revenues: innovation, ecosystem and experience. For him, these are the supporting factors not only for the increase in revenues, but also for the rapid growth of AWS compared to the other business units of Amazon Web Services. We will talk more about these factors below. Be sure to check:

Innovation

On the conference call, Olsavsky said the cloud computing market doesn't have room for multiple vendors. For him, AWS is conquering a large part of this market mainly because of its fast pace of innovation. For experts, Amazon launches services and features that are much more innovative than startups that are just starting out on the market, despite their long experience and their many years of life.

Its plans for the coming years are to continue investing in application-oriented services, technologies for hybrid environments and functionalities for data analysis platforms and the Internet of Things. All of this will deliver more and more value to your customers. In the first half of 2016 alone, 422 new services and features were launched. The goal is to surpass the number registered last year, of 722.

ecosystem

AWS has a huge ecosystem of partners, known as APN (AWS Partner Network or, in Portuguese, 'AWS Partner Network'). Partner companies receive training and undergo an accreditation and certification process, in order to be able to meet all customer needs. Sky.One Sky.One strategic partner of AWS in Brazil and the United States for migration and cloud solutions.

The former are companies that help customers architect, migrate and manage their workloads or applications. The latter offer software that is hosted on the AWS platform or integrated with it. Olsavsky also says that this ecosystem is fundamental for the growth of AWS, as it is the partners that disseminate the company's services and ensure that customers obtain positive results with them.

Experience

AWS operations began in 2006, the year Amazon Simple Storage Service (Amazon S3) and the beta version of Amazon Elastic Compute Cloud (Amazon EC2) were released. And on March 13 of that year, it completed a decade of existence. Over all these years, his team has witnessed, with their own eyes, the evolution of technologies in general and of cloud computing itself.

For Brian Olsavsky, all this acquired experience contributed to offering increasingly better services and, consequently, to attracting new customers and increasing the subdivision's revenues. Today, AWS is preferred by those companies – both large and small – that want the support of an experienced vendor, that really understands the peculiarities of cloud computing and the market.

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Written by

Sky.One Team

This content was produced by SkyOne's team of cloud and digital transformation experts.