4 ms·

They have a lot of competitors that have products as good or better. Competition should squeeze their profits considerably.

mywittyname 8y ago
Amazon is much more willing to make deals to protect IP than Google or Microsoft have been (in my experience). Google will flat out admit that they will use your company data to improve their product offerings (which are available to your competitors) and will not acquiesce on that point.
adventured 8y ago
They've been losing market share for years, to Azure and Google. Their profits haven't gotten squeezed. Their operating margins continue to be robust as ever. Most of the services AWS offers, are software services that have extreme margins. Competition isn't going to materially cut into that (which is why after all of these years of fierce competition, it hasn't).
- jedberg 8y ago
  > They've been losing market share for years, to Azure and Google. Most analysts would disagree with you, as would I. They haven't been losing market share to anyone -- the market is just growing around them. There is very little overlap between Azure and AWS customers. MS has been knocking it out of the park growing Azure, but it's mostly been customers who would have been doing Windows in the datacenter if not for Azure. They aren't capturing much of the non-Windows market, other than as ancillary services that go along with Windows services that get moved to Azure. Google is competing directly with AWS, and what they offer is technically superior, but they're still terrible at selling to the Enterprise, which is where all the money is. Sure, Google is getting a lot of small shops with a few developers, but all the real money is going to AWS, who is getting really good at selling to the enterprise, a hell of a lot faster than Google is.
ak217 8y ago
They have competitors who want you to believe their products are as good or better. In my experience, AWS's competitors don't even have a solid understanding of what makes AWS successful, and try to imitate a subset of their features. In the long term they might catch up, but it will take cultural change. (Microsoft has been making up for this by using their sales channel to port their existing customer base to Azure. This has worked out great for them, but their customer base is finite and aging.)
- stephenr 8y ago
  > what makes AWS successful Hype, and a general misunderstanding of an overly generic term (cloud) ?
  - mywittyname 8y ago
    I like it because their (every growing) product suite allows me to bring products to market incredibly quick. Their blog has lots of really good examples of typical use-cases which has served as the foundation of many of my projects.

mywittyname 8y ago

Amazon is much more willing to make deals to protect IP than Google or Microsoft have been (in my experience). Google will flat out admit that they will use your company data to improve their product offerings (which are available to your competitors) and will not acquiesce on that point.

adventured 8y ago

They've been losing market share for years, to Azure and Google. Their profits haven't gotten squeezed. Their operating margins continue to be robust as ever. Most of the services AWS offers, are software services that have extreme margins. Competition isn't going to materially cut into that (which is why after all of these years of fierce competition, it hasn't).

jedberg 8y ago
> They've been losing market share for years, to Azure and Google. Most analysts would disagree with you, as would I. They haven't been losing market share to anyone -- the market is just growing around them. There is very little overlap between Azure and AWS customers. MS has been knocking it out of the park growing Azure, but it's mostly been customers who would have been doing Windows in the datacenter if not for Azure. They aren't capturing much of the non-Windows market, other than as ancillary services that go along with Windows services that get moved to Azure. Google is competing directly with AWS, and what they offer is technically superior, but they're still terrible at selling to the Enterprise, which is where all the money is. Sure, Google is getting a lot of small shops with a few developers, but all the real money is going to AWS, who is getting really good at selling to the enterprise, a hell of a lot faster than Google is.

ak217 8y ago

They have competitors who want you to believe their products are as good or better. In my experience, AWS's competitors don't even have a solid understanding of what makes AWS successful, and try to imitate a subset of their features. In the long term they might catch up, but it will take cultural change. (Microsoft has been making up for this by using their sales channel to port their existing customer base to Azure. This has worked out great for them, but their customer base is finite and aging.)

stephenr 8y ago
> what makes AWS successful Hype, and a general misunderstanding of an overly generic term (cloud) ?
- mywittyname 8y ago
  I like it because their (every growing) product suite allows me to bring products to market incredibly quick. Their blog has lots of really good examples of typical use-cases which has served as the foundation of many of my projects.