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I suspect this will go down beside the Fire Phone. Amazon just sometimes gets this idea that if they spend enough money they're sure to win. I just wish the g
by mabbo 4y ago
I suspect this will go down beside the Fire Phone.
Amazon just sometimes gets this idea that if they spend enough money they're sure to win.
I just wish the government would finally break them up so that AWS could keep it's profits and stop funding the rest of the unprofitable divisions.
- YetAnotherNick 4y ago> I just wish the government would finally break them up so that AWS could keep it's profits and stop funding the rest of the unprofitable divisions. I really don't get this sentiment. AWS was a loss making unit once much like any other innovative idea. Amazon funds 1000s of different ideas with the intention that few will work. If government would break up companies like this, there would be no interest in pursuing ideas by big companies and no funding for stuff which has any R and D cost.
- mabbo 4y agoI get where you're coming from, but it doesn't hold water when you reach the scale of a company like Amazon, for the time periods we're talking about. The entire retail market is being undercut by Amazon Retail. Competition is being reduced to fewer and fewer competitors- which is bad for the consumer in the long run. All the while, Amazon retail can afford to lose hundreds of millions of dollars per year, over and over again, because AWS makes up the difference. They can afford to build hundreds of high tech warehouses to reduce their costs further, all from the income from AWS. I don't know what the right answer is, but I don't think it's okay that things are operating this way. (And lets not even get into the abuse of customers and merchants on their retail marketplace, which frankly to me are enough that the government should have intervened long ago.)
- YetAnotherNick 4y agoIt holds specially for company like Amazon. Do you know how many business Amazon is running on loss? AFAIK they are very liberal in spending in R and D or with long term motive. AWS was once such a project. Who would have though that companies are ready to spend 5x if you add extra services alongside the server. Also, AFAIK Amazon shopping site is not in loss in US. Your suggestion could have made sense if Amazon is using AWS money to strengthen the monopoly, but Amazon shopping is a profitable business, in part due to advertisement.
- bergenty 4y agoNo thank you, I don’t want the government breaking up big companies because they are the only ones with enough of a bankroll for moonshots. Unless they’re literal monopolies of course.