Amazon operates the online marketplace founded by Jeff Bezos in 1994 and became a mega-cap stock.
Jeff Bezos founded Amazon in Bellevue, Washington, in July 1994, initially choosing books because they could be catalogued and shipped efficiently. The website launched in 1995. Amazon later expanded into electronics, household goods, groceries, digital media, logistics, and physical retail.
A major part of Amazon's market value comes from Amazon Web Services, or AWS. Launched in 2006, AWS provides cloud-computing infrastructure and services to businesses, governments, and developers. Its profitability helped offset the lower margins commonly associated with retail and became a central reason investors regarded Amazon as more than an online bookstore.
Amazon's market capitalization can change substantially because its share price responds to retail growth, cloud performance, advertising revenue, and wider economic conditions. The company is often compared with Alibaba, but the two are separate businesses with different primary markets and corporate structures.