Amazon Web Services CEO Adam Selipsky speaks on the Bloomberg Technology Summit in San Francisco on June 22, 2023.
David Paul Morris | Bloomberg | Getty Images
Amazon mentioned Thursday that income from its cloud unit elevated 12% 12 months over 12 months within the second quarter, a speedier tempo than analysts had predicted.
Revenue for the quarter got here to $22.1 billion, beating the $21.79 billon consensus amongst analysts surveyed by StreetAccount. Revenue grew nearly 16% within the first quarter.
associated investing information
Of Amazon’s $7.7 billion in whole income, 70% of it got here from Amazon Web Services, which led the cloud infrastructure market with 40% share in 2022, know-how trade researcher Gartner mentioned final month.
AWS generated $5.4 billion in working revenue, which is down 5% 12 months over 12 months however increased than the StreetAccount consensus of $5.24 billion. AWS working revenue has now declined for 3 consecutive quarters. Amazon’s total working revenue, in the meantime, totaled $7.7 billion.
Economic issues have pushed company leaders to scrutinize their firms’ use of cloud infrastructure similar to Amazon’s AWS and search for locations to save cash. Last week, Microsoft executives mentioned they expects clients will proceed optimizing their current workloads on Azure within the third quarter.
During the second quarter AWS launched Bedrock, a service that organizations can use to deploy generative synthetic intelligence fashions that may compose spectacular textual content and pictures in response to phrases or photographs that individuals submit. AWS additionally mentioned it was investing $100 million within the launch of a Generative AI Innovation Center to pair clients with consultants.
Google and Microsoft are additionally shifting shortly to earn a living as firms look to make the most of generative AI following the rise of startup OpenAI’s ChatGPT chatbot. Microsoft’s Azure OpenAI Service grew to become accessible in January, months earlier than the Bedrock announcement.
AWS CEO Adam Selipsky advised CNBC in June that the generative AI “race” has simply began.
WATCH: AWS has but to appreciate the advantages of A.I., analyst says
Source: www.cnbc.com”