The New IT Normal and AWS
At the third annual Amazon Web Services user conference (AWS re:Invent 2014), SVP Andy Jassy stated that “cloud has become the new normal”. AWS claims more than 1 million active customers and the fastest revenue growth rate (>40%) of any multi-billion dollar enterprise IT vendor. As the trailblazer and leader of IaaS, AWS cannot be ignored by IT. There are only two types of companies: those officially using AWS and those whose users are going around IT to consume AWS (see “Stealth IT”). CIOs must either be using AWS solutions or benchmarking themselves against what can be done with AWS. The ascendency of AWS has been compared to Microsoft and VMware. Like those previous cases, it will take time before we know how large they will become and there are growth headwinds when an IT supplier becomes too powerful in a partner ecosystem or takes a large amount of revenue from customers.
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