Amazon Web Services SWOT

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SWOT Analysis Date: 10/8/13 Prepared by: Bessie Chu

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SWOT Analysis for AWS Graduate assignment for Communication Technology and International Economy course at

Transcript of Amazon Web Services SWOT

Page 1: Amazon Web Services SWOT

SWOT  Analysis  

Date:  10/8/13  Prepared  by:  Bessie  Chu  

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What is Cloud Computing?

Cloud  computing  distributes  computing  over  a  network  as  a  practice.    Applications  run  on  a  large  number  of  computers  at  a  time  remotely  versus  just  your  machine.      

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Business Model and Figures

AWS  offers  cloud  computing  services,  what  most  people  would  understand  as  website  hosting.      

Selling  point:  You  only  pay  as  much  as  you  need  the  services  and  Amazon  does  a  lot  of  the  heavy  lifting  so  you  can  work  on  your  core  

business.  

$3  billion  out  of  $61  billion  in  revenue  

Current  capacity  is  five  ,mes  combined  

capacity  of  next  14  rivals  

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Strengths

1.  First  market  entry  in  2006  

2.  Infrastructure  of  Dozens  of  Services    

3.  Large    Entrenched  Client  

Base    

4.  Capacity  5X  Combined  that  of  14  Compe,tors  

5.  Higher  Investment  than  Business  Rivals    

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Weaknesses

1.  Public  Cloud  Business  Only  

2.  Outages  

3.  Complexity  for  Customers  

4.  Price  and  Service  Breadth  

5.  Profitability  QuesFons  

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Opportunities 1.   Growing  market  for  big  business-­‐  cloud  computing  a  

$300  billion  dollar  a  year  business  

2.   File  storage  costs  less  in  the  cloud  with  lowering  prices  so  businesses  want  to  move  to  the  cloud    

3.   Growing  suite  of  products  and  services  that  that  complement  AWS  

4.   Possibility  of  spinning  off  into  own  business  

5.   Continued  investments  and  expansions  

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Threats 1.Hardware  

Pricing  

Price  Wars  on  Services  

Enables  Competing  Services  

2.  Competitors  

Niche  Players  

Google/Microsoft/IBM  

3.  Private  Cloud  

NSA  Anxiety  and  Privacy  

Customization  

4.  Database  Trends  

Trends  Toward  NoSQL/

Nonrelational  Databases  

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References •  http://www.wired.com/insights/2011/12/moores-­‐law-­‐cloud/  •  http://www.onlinetech.com/resources/wiki/cloud-­‐computing/public-­‐vs-­‐private-­‐cloud-­‐computing  •  http://www.quora.com/Who-­‐are-­‐the-­‐top-­‐10-­‐Amazon-­‐AWS-­‐customers  •  http://www.quora.com/Amazon-­‐EC2/What-­‐are-­‐the-­‐largest-­‐consumer-­‐sites-­‐that-­‐run-­‐on-­‐EC2  •  http://www.slideshare.net/mpasternacki/amazon-­‐web-­‐services-­‐cloud-­‐is-­‐it-­‐good-­‐for-­‐anything  •  http://www.businessweek.com/stories/2006-­‐11-­‐12/jeff-­‐bezos-­‐risky-­‐bet  •  http://www.onlinetech.com/resources/wiki/cloud-­‐computing/public-­‐vs-­‐private-­‐cloud-­‐computing  •  http://techcrunch.com/2013/04/11/cloudcheckr-­‐raises-­‐2m-­‐to-­‐help-­‐aws-­‐customers-­‐analyze-­‐

resources-­‐costs-­‐and-­‐security/  •  http://readwrite.com/2013/08/21/gartner-­‐aws-­‐now-­‐5-­‐times-­‐the-­‐size-­‐of-­‐other-­‐cloud-­‐vendors-­‐

combined  •  http://aws.amazon.com/enterprise-­‐it/  •  http://www.businessinsider.com/amazons-­‐aws-­‐market-­‐share-­‐and-­‐revenues-­‐2013-­‐8  •  http://blogs.barrons.com/techtraderdaily/2013/05/29/amazons-­‐web-­‐services-­‐threatens-­‐almost-­‐all-­‐

it-­‐says-­‐morgan-­‐stanley/  •  http://www.networkworld.com/news/2013/080113-­‐amazon-­‐cloud-­‐272444.html  •  http://seattletimes.com/html/businesstechnology/2021686332_amazoncontractxml.html