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But why would you exclude of marketplace and AWS? That's where rivers of money come from to help them enter into new categories! Setting any of the major parts
by mr_luc 9y ago
But why would you exclude of marketplace and AWS? That's where rivers of money come from to help them enter into new categories!
Setting any of the major parts aside would disregard the benefits Amazon reaps from being so integrated. For instance, do we credit the market with Prime membership? Well, now that Amazon originals and prime video exist, there are people who are Prime members because of video. And for others, it may be the various benefits in combination.
And, in turn, Amazon is able to use Prime membership money to outspend Netflix. Etc.
- soniman 9y agoWe can estimate the value of AWS and marketplace by comparing to Azure, eBay, etc. So it's not that hard to put a number on those businesses. That leaves the legacy business, selling stuff on the internet. The history of "integrated" businesses is generally poor. Has your bank tried to get you to invest in a mutual fund or buy life insurance? It's natural adjacency and yet no bank has managed to make it work. Here is the former head of Amazon programming basically admitting that Netflix is impossible to compete with. Multiply across every other product category. https://twitter.com/ballmatthew/status/973382126992175104 https://twitter.com/ballmatthew/status/973382126992175104