AWS Passes $6 Billion Mark in Q2 Earnings Report
Retail giant Amazon.com reported its second quarter earnings on Thursday, and the figures paint a positive picture for Amazon Web Services (AWS).
The cloud business drew $6.1 billion in revenue in for the period ended June 30, exceeding analyst estimates. Q2 revenue was up 12% from the previous quarter, when AWS earned $5.4 billion, and up 49% from the year-ago period, when AWS reported revenue of $4.1 billion.
Amazon.com's cloud business was once again its fastest-growing, outpacing the North America retail segment (which increased revenue by 44% year over year) and the International segment (which increased by 27%).
AWS operating income for Q2 was $1.6 billion, a 79% year-over-year increase and a 17% quarter-to-quarter increase.
Despite cloud rival Microsoft Azure steadily growing its market share, it remains a very distant second place to AWS. Microsoft released its own quarterly earnings last week, reporting an 89% increase in revenue for the Azure cloud business (though, as usual, it did not give the exact amount).
In its earnings announcement Thursday, AWS credited its Q2 success to the ongoing development of Alexa, its AI digital assistant, as well as to several product milestones, including the respective launches of the DeepLens AI camera, the Amazon Elastic Container Service for Kubernetes (Amazon EKS), the Neptune graph database and the Sumerian 3-D design platform.
AWS comprised 11% of Amazon.com's total revenues, which reached $52.9 billion for the quarter (up 39% year over year). Amazon.com earnings per share were at $5.07, compared to just $0.40 in Q2 last year.
* First time reported as a separate line item.
Gladys Rama is the senior site producer for Redmondmag.com, RCPmag.com and MCPmag.com.