It has become a truism that software is eating the world. Perhaps that now extends to Amazon’s acquisition of Whole Foods. This purchase is surely funded in part by the astronomical growth of Amazon Web Services, which is estimated to have made $14 billion in revenue last year — just slightly more than the purchase price for the grocer.
AWS has been compared to a tax, “because it’s so widely used by every company that it’ll eventually turn into a fixed annual cost for most businesses.”
What is Amazon doing with that tax they collect on businesses rushing to the public cloud? Using those proceeds to compete with those very same businesses. [Read the full article below]