Andy JassyChairman of the board of Amazonhas claimed the role of generative artificial intelligence (AI) that is emerging next “big pillar” the company. Amazon’s top boss expressed this in his annual letter to shareholders: “Generative AI can be that greater technological change from the cloud and maybe from the Internet«.
In this regard, Jassy has expressed his confidence in Amazon Web Services (AWS), which will serve as the foundation for many of the changes associated with the rise of AI. In the letter, the CEO explains that while the company itself is developing a significant number of generative AI applications, “The vast majority are created by other companies at some point«.
However, the executive defends that AWS is not just working to create an attractive application or base model, but that the platform’s services include a number of elements that democratize this next fundamental phase of AI and enable internal and external developers to create virtually any customer experience change and also invent completely new ones. «We are optimistic about that Much of this world-changing AI will be based on AWS«he emphasizes.
«Primitives are the raw parts or most basic level building blocks for software developers. They are indivisible (if they can be functionally divided into two parts, they should be) and they do one job very well. They are intended to be used together and not as standalone solutions. And we will build them for maximum flexibility for developers. We will not impose many restrictions on primitives to prevent developers from hurting themselves. Rather, We optimize developer freedom and innovation“he emphasizes.
Cost reduction
Jassy also highlighted the importance of tight costsThis allowed Amazon to invest in speed improvements and add more options at lower average selling prices. «Never in Amazon’s history have we felt like there are so many ways to make our customers’ lives better and easier. We are incredibly excited about what is possible, focused on inventing the future, and we look forward to working together to make it happen.“, it is finished.
In 2023, Amazon’s total revenue grew 12% year-over-year, from $514 billion to $575 billion. By segment, North America revenue increased 12% year-over-year from $316 billion to $353 billion, International revenue increased 11% year-over-year from $118 billion to $131 billion, and AWS Sales increased 13% year over year. from $80 billion to $91 billion.
advertising business
Additionally, highlights the progress of the advertising business, which remains strong with 24% year-on-year growth, increasing from $38 billion in 2022 to $47 billion in 2023, driven primarily by our sponsored ads. «We’ve added Sponsored TV to this offering, a self-service solution for brands to create campaigns that can appear on over 30 TV streaming services, including Amazon Freevee and Twitch, and have no minimum spend“, Explain.
Furthermore, he adds: “We recently expanded our streaming TV advertising by introducing ads in shows and movies on Prime Video, where brands can reach more than 200 million viewers per month with our most popular entertainment offerings across movies and shows, award-winning Amazon MGM Originals and Live -Sports like Thursday Night Football. Streaming TV advertising is growing rapidly and is off to a good start«.