Amazon Web Services (AWS) Growth Rate (2016-2023)

This statistic highlights AWS Growth Rate from Q1 2016 onwards, reported on a quarterly basis.

Amazon Web Services (AWS) is Amazon’s subsidiary company. AWS is a cloud computing platform. It also provides an Application Programming Interface(API) and over 200 fully-featured services to individuals, companies, and governments. AWS is the core engine and profit driver of Amazon. AWS was founded around 2002-03 when Amazon was developing its own web infrastructure to build its own website. In November 2012, Amazon’s retail sites were migrated to AWS.

AWS’ Growth Rate

(All figures in billion, except percentages)

• AWS growth rate is showing an adverse trend since FY 2016. Although AWS’s revenue is increasing every year, its growth rate is declining. AWS always cuts its prices, and its products get cheaper every year. A cut-throat competition with Microsoft and Google resulted in adverse growth. Thus, AWS offers cheaper services to attract new customers.
• In the year 2017, AWS launched re/Start. This platform prepares unemployed and underemployed individuals for cloud careers through classroom-based learning. AWS’s growth rate suddenly increased to 44.6% in Q4 2017.
• In January 2018, AWS launched Autoscaling. Autoscaling dynamically adjusts the number of computational services in a server farm. AWS’s YOY growth rate in Q3 2018 was 45.70%.
• In 2019, it was reported that many companies in Germany, listed on DAX used AWS. On the other hand, in August 2019, the U. S. Navy moved 72,000 users to the AWS cloud system. AWS’s growth rate in Q4 2019, was 33.99%. AWS generated a revenue of $35.026 billion in FY 2019.
• In Q1 2020, AWS’s growth rate was 32.8%. AWS generated a revenue of $10.22 billion in Q1 2020. On the other hand, in Q2 and Q3 2020, AWS grew at a constant rate of 29%. In FY 2020, AWS generated total revenue of $45.37 billion.
• In FY 2021, DISH Network, an American television provider announced to develop and launch its 5G network on AWS. However, AWS’s YOY growth increased to 32.14% in Q1 2021. AWS’s revenue in Q1 2021 was $13.50 million.

Company Overview

Amazon.com, Inc. headquartered in Seattle, Washington is founded by Jeff Bezos in the year 1994. Amazon’s main business is in the sector of e-commerce, cloud computing, digital content subscriptions, database offerings, and publishing. Amazon’s operation is organized into three segments – North America, International, and Amazon Web Services. Moreover, selling a wide range of products and services to customers is their primary source of revenue. They also provide advertising services through sponsored ads and video advertising.  Above all, they focus on improving customer satisfaction, lowering prices, quick delivery, a wide range of products, and increasing service offerings.

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