Menu
AWS remains Amazon's fastest growing segment

AWS remains Amazon's fastest growing segment

Beats US e-commerce operating income again, but not by much

Credit: Dreamstime

Amazon Web Services (AWS) generated US$7.29 billion in operating income for Amazon.com during the financial reporting year ended 31 December 2018, representing the tech giant's fastest growing division.

Cutting closer in 2018, Amazon operating income for North America was US$7.26 billion, alongside an international operating loss of US$2.1 billion.

This is not the first time the vendor's cloud computing business has performed better financially, in 2017 the division generated an operating income of US$4.3 billion, while Amazon generated US$2.8 billion.

To put it in perspective, AWS' year-over-year net sales growth was 47 per cent in 2018, growing faster than the other business segments.

Overall, Amazon posted a growth rate of 31 per cent. Net sales for the full year increased 31 per cent to US$232.9 billion, compared with US$177.9 billion in 2017.

Meanwhile, operating income increased to US$12.4 billion, compared with operating income of US$4.1 billion in 2017. Net income increased to US$10.1 billion compared with net income of US$3.0 billion, in 2017.

For the first quarter of 2019, Amazon expects operating income to be between US$2.3 billion and US$3.3 billion, compared with US$1.9 billion in first quarter 2018.

In its financial results, Amazon mentioned among its highlights for 2018 the deal with the National Australia Bank who chosen AWS as their long-term strategic cloud provider.

As previously reported by ARN, NAB plans to migrate more than 300 applications, including core banking systems, to AWS by the end of 2019.

NAB said it will align to a “cloud-first” strategy going forward, leveraging AWS for compute, storage, database and analytics capabilities.

The aim of the strategic partnership is to build new services to deliver "better financial outcomes" for NAB’s nine million customers around the globe.


Follow Us

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags amazonAmazon Web Servicesamazon.comAWS

Events

Featured

Slideshows

Channel kicks 2021 into gear as After Hours returns to Auckland

Channel kicks 2021 into gear as After Hours returns to Auckland

After Hours made a welcome return to the channel social calendar with a bumper crowd of partners, distributors and vendors descending on The Pantry at Park Hyatt in Auckland to kick-start 2021.

Channel kicks 2021 into gear as After Hours returns to Auckland
The Kiwi channel gathers for the 2020 Reseller News Women in ICT Awards

The Kiwi channel gathers for the 2020 Reseller News Women in ICT Awards

Hundreds of leaders from the New Zealand IT industry gathered at the Hilton in Auckland on 17 November to celebrate the finest female talent in the Kiwi channel and recognise the winners of the Reseller News Women in ICT Awards (WIICTA) 2020.

The Kiwi channel gathers for the 2020 Reseller News Women in ICT Awards
Show Comments