In this Cloud Wars Minute, Bob Evans reviews AWS‘ Q1 earnings results, which suggest a decline in the company’s overall growth rate.
Highlights
00:35 — After seeing AWS’ Q1 results, Bob wonders if the company has lost its growth mojo. This quarter, the company grew 16%. While for some companies, this number may be extraordinary, AWS is, in many ways, the “category King” of the cloud infrastructure business.
01:06 — A year ago, AWS’ growth rate was 37% — strikingly higher than the most current Q1 results. Is AWS’s growth being impacted by customers buying less? “There’s a number of factors, no doubt, I think the biggest one here is the IaaS category King creator. I’m wondering, is it deep enough and rich enough in the software field?”
02:08 — Bob answers his own question: “Absolutely. There’s no question.” He wonders if the fact that AWS is not as active as its competitors in the software industry has led to a decline in its growth rate.
03:50 — There are many explanations behind AWS’ declining growth rate, but he suggests that listeners tune into what he is calling the “software gap” between what AWS and other competitors offer.
