Amazon owns the AWS cloud-computing business and became one of the world’s most valuable firms.
Amazon Web Services, usually called AWS, began offering cloud infrastructure services in 2006. It provides computing power, storage, databases, networking, and other services to businesses, governments, and developers worldwide.
Amazon was founded by Jeff Bezos in 1994 as an online bookstore and expanded into many product categories. Its marketplace, logistics network, subscription services, advertising business, devices, and cloud division all contributed to its growth. AWS became particularly important because cloud services can generate substantial recurring revenue and operating profit.
Amazon is sometimes mistaken for a company whose main business is only online retail. Retail remains central, but AWS is a distinct and strategically important segment. Market capitalization measures investors’ valuation of the entire company, including AWS, rather than assigning a separate public-company value to the division.