Alibaba Cloud forces Amazon to improve market competition? AWS CEO Andy Jassey on Quantum Computing and AI

There is an old Chinese saying”, “Church apprentices starve to death”, the cloud computing industry’s big brother AWS, although the lead is obvious, but also never taken lightly, Alibaba Cloud’s strength in the Chinese market has attracted the attention of AWS CEO Andy Jassy, The rapid growth of cloud-computing makers such as Alibaba Cloud has also made Amazon determined to do more technological innovation to maintain its market ranking.

Alibaba Cloud forces Amazon to improve market competition? AWS CEO Andy Jassey on Quantum Computing and AI

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“China is the place we see most often,” says the CHIEF executive of AWS.

AWS notes that Alibaba Cloud has caught up in some regions, but is largely limited to China, and Jassy said in an interview withmedia that Amazon is targeting areas such as artificial intelligence and quantum computing to widen the gap with its competitors.

Launched in 2006, AWS’s annual sales are estimated at about $36 billion, according to Amazon’s latest results, and its year-on-year growth rate remains at 30 to 39 percent.

“We used to be optimistic that this could be a real business, but I don’t think anyone could have predicted it would grow rapidly. Jassy says he has been CEO since AWS was founded.

Over the past decade, enterprises have moved from internal information systems to the cloud. Jassy said the cloud computing market still has huge growth potential because “we are still in the early stages of cloud ingressin in business and the public sector” and “the U.S. is 12 to 36 months ahead of other countries in adopting cloud computing, and there’s huge potential in other markets.” ”

According to Synergy Research Group, AWS accounted for nearly 40 percent of the IaaS and PaaS markets in the last quarter, followed by Microsoft, Google and Alibaba, and the gap between the three is widening.

Microsoft recently defeated AWS to win the U.S. Department of Defense’s $10 billion joint enterprise defense infrastructure cloud contract. Given Donald Trump’s public exchanges with Amazon and founder and CEO Jeff Bezos, who also owns The Washington Post Media, the president may also influence the outcome of the contract.

In an interview withmedia, Jassy said AWS is better equipped, saying: “Most customers who study technology infrastructure platforms tell us that they think we’re more than two years ahead of anyone else.” He also said earlier that losing the JEDI contract would threaten national security.

Asked if Alibaba’s expansion would raise similar concerns, he said: “I don’t think the growth of any company, including Alibaba, will be related to the national security of the United States.”

“What I’m trying to say is that when we work with customers, we usually see Alibaba and they’re thinking about which cloud computing vendor they’re going to use in China,” Jassy said. He added, “I don’t think they have any business in the US or Europe at the moment.” ”

Asked about technology trends over the next decade, he said, “Very few companies have their own data centers than they do now.” And those with data centers don’t have large data centers. ”

In areas of focus, he mentions AI and edge computing, enabling customers to process near data generation. As for artificial intelligence, he reckons, “almost all applications will be injected into machine learning and artificial intelligence in some way.” ”

On edge computing, he said: “I think in the future we will have billions of devices in our homes and in factories, cars, airplanes, ships, oil fields and agriculture-—— they will be everywhere.” Companies and end users want to get all the data these devices are generating and get more intelligence from them. ”

AWS announced a cloud-based quantum computing service in early December. “We’ve made a major investment in quantum computing,” Jassy said earlier. He also believes that the popularity of quantum computing could take years, but AWS is optimistic about its potential.

Regarding IT trends in the 2020s, he said that “a lot has changed over the last decade, but in the next decade it will be even bigger”.

Whether IT giants like Amazon can address privacy and tax avoidance challenges with the world under intense scrutiny remains a question. Lawmakers, including U.S. Senator Elizabeth Warren, the 2020 Democratic presidential candidate, have called for a spin-off of big high-tech companies.

“If the government’s decision is upheld by the courts, then everyone has to follow,” Jassy said. “I think there’s a need to take into account the differences in these companies. Facebook, Google, Apple, Microsoft and Amazon are all different companies. ”

“Amazon also accounts for 1% of global retail, and we have a very small share of the market segment,” he said. Ninety-seven percent of all IT spending worldwide is local and only 3 percent is in the cloud. We have a part of the cloud market,” Says Jassy, noting that customers need new products and services, so there’s not much motivation or purpose to split these companies.

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