Amazon Cloud CEO Adam Selipsky said the company is going to develop more products catered to specific industries, such as healthcare and telecommunications, to avoid getting too comfortable in broader cloud offerings, Bloomberg reported Nov. 17.
Four things to know:
- Mr. Selipsy told Bloomberg that clients want industry-specific products. He said the company is starting to provide them for healthcare, financial services, telecommunications and automotive industries.
- Amazon has developed several products for specific industries, but its main focus has been broader. Andy Jassy, the former CEO of Amazon Cloud who now helms Amazon.com, long resisted tailored cloud services, Bloomberg reported.
- Some Amazon executives and developers have left for startups because it's hard to cater to broad enterprise work, former employees told Bloomberg. But catered cloud content can also bring higher profits. However, the new strategy comes with risks. It could stretch Amazon developers too thin or make the company's strategy too narrow, Bloomberg reported.
- Google and Microsoft have rolled out cloud packages designed specifically for sectors, such as retail or healthcare. Microsoft unveiled its cloud for healthcare, which will integrate app innovation, tools for modern work, infrastructure, data analytics, security and artificial intelligence, at a Nov. 2 developer's conference.