How Much Can Amazon Profit From The Cloud?
Grazed from Seeking Alpha. Author: Chris Frangold.
For large Internet-based companies like Amazon (AMZN), building and using its own cloud service just makes sense. Not only does this cut back on the added expense of outsourcing, it also gives the company total control over how to manage the service.
In a very short amount of time, cloud computing has redefined how companies work with each other and with customers. Since 2006, Amazon has offered its cloud service, Amazon Web Services, to the public. Now the company has plans for expansion, which could increase profits and allow Amazon to make its mark in yet another high-profile arena…


The power of very big supporters of OpenStack has become more evident in recent weeks. In less than two years, the open source platform OpenStack cloud deployment drew the attention of the biggest players in the industry. Companies such as Rackspace, through its private cloud, already offer free OpenStack distribution. Others like CloudScaling, Piston Cloud Computing, Red Hat, and Ubuntu offer their own version of OpenStack deployment.