Advertisements

Amazon Has Reached A Staggering Level Of Dominance When It Comes To Cloud Computing

Amazon Has Reached A Staggering Level Of Dominance When It Comes To Cloud Computing

JIM EDWARDS 11 MINUTES AGO 0

Amazon’s cloud computing service, AWS, has more than five times the combined capacity of its next 14 rivals, according to a research report by Gartner, as cited in The Seattle Times’ recent look at Amazon’s efforts to win the contract for the CIA’s cloud services. Most people regard Amazon as that online book and retail company. But the Gartner report argues that Amazon has reached a staggering level of dominance in enterprise-level computing services for big companies. The Seattle Times: AWS generates roughly $3 billion in annual revenue, according to analyst estimates, by offering services to businesses at a fraction of what it would cost if those businesses owned and ran their own computers.Amazon’s total revenues are ~$61 billion. The CIA contract, which Amazon has won once but must win again after a protest by IBM re-opened the bidding, is worth an additional $600 million to Amazon. To give you an idea of just how far ahead of some other companies Amazon is, Network World notes that “No other company is really close to Amazon in terms of its offerings, according to Gartner, but there are a variety of niche players. Outsourcer CSC, for example, receives high marks in the report and is named as the only other leader in the market.”

And look who the “niche players” are:

Microsoft and Rackspace are listed in the “visionaries” category, while telco-oriented providers Verizon Terremark and Savvis are in the “challengers” quadrant, along with Dimension Data. Joyent, Tier 3, Virtustream, Fujitsu, SoftLayer (now owned by IBM), GoGrid, HP and IBM are considered “niche players” by Gartner.

Advertisements

About bambooinnovator
Kee Koon Boon (“KB”) is the co-founder and director of HERO Investment Management which provides specialized fund management and investment advisory services to the ARCHEA Asia HERO Innovators Fund (www.heroinnovator.com), the only Asian SMID-cap tech-focused fund in the industry. KB is an internationally featured investor rooted in the principles of value investing for over a decade as a fund manager and analyst in the Asian capital markets who started his career at a boutique hedge fund in Singapore where he was with the firm since 2002 and was also part of the core investment committee in significantly outperforming the index in the 10-year-plus-old flagship Asian fund. He was also the portfolio manager for Asia-Pacific equities at Korea’s largest mutual fund company. Prior to setting up the H.E.R.O. Innovators Fund, KB was the Chief Investment Officer & CEO of a Singapore Registered Fund Management Company (RFMC) where he is responsible for listed Asian equity investments. KB had taught accounting at the Singapore Management University (SMU) as a faculty member and also pioneered the 15-week course on Accounting Fraud in Asia as an official module at SMU. KB remains grateful and honored to be invited by Singapore’s financial regulator Monetary Authority of Singapore (MAS) to present to their top management team about implementing a world’s first fact-based forward-looking fraud detection framework to bring about benefits for the capital markets in Singapore and for the public and investment community. KB also served the community in sharing his insights in writing articles about value investing and corporate governance in the media that include Business Times, Straits Times, Jakarta Post, Manual of Ideas, Investopedia, TedXWallStreet. He had also presented in top investment, banking and finance conferences in America, Italy, Sydney, Cape Town, HK, China. He has trained CEOs, entrepreneurs, CFOs, management executives in business strategy & business model innovation in Singapore, HK and China.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: