in

Amazon's Cloud Biz Approaching a Billion

Amazon's Cloud Biz Approaching a Billion - top government contractors - best government contracting event

Amazon's Cloud Biz Approaching a Billion - top government contractors - best government contracting eventAmazon Web Services, the online retailer's cloud computing unit, could hit $1 billion in revenue next year, Reuters reports.

Amazon.com does not publicize the revenue AWS pulls in, but AWS generated an estimated $500 million in revenue last year and is expected to generate $750 million in revenue this year.

“While still very small for Amazon, given the size of the market opportunity and Amazon’s strong competitive positioning, we believe that this could soon be a $1 billion revenue segment,” Citigroup analyst Mark Mahaney wrote in a note to investors this week.

J.P. Morgan analyst Doug Anmuth told Reuters he believes AWS will reach $2.6 billion in revenue by 2015 as companies outsource more of their data needs.

Forbes reports Amazon.com posted second-quarter net income of $191 million, or 41 cents per share, down from $207 billion, or 45 cents per share in the same quarter last year. Second-quarter revenue increased 51% to $9.91 billion.

ExecutiveBiz Logo

Sign Up Now! ExecutiveBiz provides you with Daily Updates and News Briefings about Government Technology

mm

Written by Neel Mehta

Kratos Defense & Security Solutions Wins $8 Million Contract
'Evil' Hacker Faces 49 Charges