It promises to be an interesting Thursday! Several large technology companies, including Amazon, are set to post their latest earning reports today, and AWS is squarely in the spotlight.
The Amazon Web Services platform fell short of expectations in the Q4 last year.
Even as the cloud computing industry is thriving, and AWS itself is booming.
AWS revenue came in at $3.536 billion for the fourth quarter, marking an impressive year-over-year growth of 47%. These results brought the full year total for the segment to $12.219 billion, which itself makes it more than 55% up from previous year total of $7.880 billion.
But amid these remarkable figures and notable growth rate, AWS growth seems to be slowing down a bit. While last quarter revenue grew by 55%, it was a decline from the 59% growth the segment had posted in Q3.
Sure, the Amazon Web Services platform is a long way away from its plateau, but it could be on the horizon, and things may settle down.
Unless, Amazon continues making the business more profitable.
Microsoft and Alphabet (Google, if you will) will also release their financial results today, after the market closes. And it will be particularly interesting to see how the Azure cloud platform has fared, following a strong push from Redmond.
Nevertheless, the AWS numbers are what investors will be keeping a close eye on, and whether the fast-growing cloud unit can maintain its momentum in the near and upcoming future.
Exciting times ahead!