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The latter seems plausible to me, but the former makes no sense. If the problem is that Amazon-retail has too much market power, how would splitting off AWS hel
by timmaxw 3y ago
The latter seems plausible to me, but the former makes no sense. If the problem is that Amazon-retail has too much market power, how would splitting off AWS help with that problem? Amazon-retail would still have the same fraction of the retail market as before.
- scarface_74 3y agoExactly, people here who shout “break them up”, don’t put an ounce of thought into it.
- burkaman 3y agoSplitting off AWS wouldn't be enough on its own, but I think the argument would be that Amazon makes a substantial amount of its operating income from AWS (70% in the latest quarter: https://ir.aboutamazon.com/news-release/news-release-details/2023/Amazon.com-Announces-Second-Quarter-Results/ https://ir.aboutamazon.com/news-release/news-release-details...), which allows it to fund anti-competitive marketplace practices like undercutting competitors at a loss to force them out of business. It would be more difficult to sustain such practices without AWS income.