Is Amazon's cloud play becoming gloomy? Amazon, specifically Amazon Web Service (AWS) is in an out war with for the cloud with Google, Microsoft, and many, many others and it doesn't look as though these pressures are going to ease up any time soon. Indeed everyone has or is (late bloomers) is getting into the cloud and of course, cost savings by having your own data servers is quite the enticement.
A quick look at the facts.
AWS sales dipped this quarter as Amazon announced Thursday that for its second quarter that the category that includes AWS saw a 3% sequential revenue slip. That “other” category — which also includes advertising services and co-branded credit card agreements — also logged 38% growth year over year which sounds fantastic until you realize year-over-year growth in the first quarter was 60%. There have been other slight quarterly dips in the category’s otherwise relentless rise over the past few years, but they’ve mostly happened between fourth and first quarters.
