Amazon: Competition Heats Up in Some Carpetland Offices
May 31, 2024
This essay is the work of a dinobaby. Unlike some folks, no smart software improved my native ineptness.
The tech industry is cutthroat and no one is safe in their position, no matter how high they are on the food chain. The Verge explains how one of Amazon’s CEOs might not be able to withstand competition: “Amazon Web Services CEO To Step Down.” Adam Selipsky is the acting CEO of Amazon Web Services and he will be stepping down June 3, 2024. He will be replaced by Matt Garman, who is currently the SVP of AWS sales, marketing, and global services. Garman has worked at Amazon for eighteen years in the AWS division.
AWS is responsible for 17% of Amazon’s total revenue and 6% of its operating income in the first quarter of 2024. AWS is known as an “invisible server empire” because it hosts the infrastructures of many organizations across all industries. When AWS experienced outages, there were ripple effects on the Internet and real world, i.e., Amazon delivery vans and warehouse bots couldn’t work. AWS is a big player in Amazon’s AI development: proprietary AI chips, Anthropic, Amazon Q, Amazon Bedrock, and Nvidia’s GH200 chips. Selipsky was a major leader in building Amazon’s AI foundations.
Andy Jassy wrote an email to AWS staff about the transfer of power that applauds Selipsky’s service, explains he’s moving onto another “challenge,” and is taking a “well-deserved respite.” The email then moves onto congratulating German. Selipsky replied with the following:
“Leading this amazing team and the AWS business is a big job, and I’m proud of all we’ve accomplished going from a start-up to where we are today. In the back of my head I thought there might be another chapter down the road at some point, but I never wanted to distract myself from what we are all working so hard to achieve. Given the state of the business and the leadership team, now is an appropriate moment for me to make this transition, and to take the opportunity to spend more time with family for a while, recharge a bit, and create some mental free space to reflect and consider the possibilities.
Matt and the AWS leadership team are ready for this next big opportunity. I’m excited to see what they and you do next, because I know it will be impressive. The future is bright for AWS (and for Amazon). I wish you all the very best of luck on this adventure.”
Selipsky, Jassy, Garman, and the AWS appear to be leaving on good terms. There might be something that happened behind closed doors and the verbiage indicates Selipsky can’t handle where AWS is going.
Whitney Grace, May 31, 2024
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