Amazon said growth had slowed this month in its Amazon Web Services cloud division, raising investor fears about a main driver of the tech giant’s profits as customers look to cut costs in response to challenging economic conditions. The warning, which came on an earnings call on Thursday, took the shine off of an initial rally that had pushed Amazon shares as much as 12 per cent higher in after-hours trading, leaving them about 2 per cent lower. During the March quarter, revenue at AWS, which accounts for the bulk of Amazon profits, grew 16 per cent to $21.4bn, ahead of forecasts for $21.2bn. Read More...
Amazon said growth had slowed this month in its Amazon Web Services cloud division, raising investor fears about a main driver of the tech giant’s profits as customers look to cut costs in response to challenging economic conditions. The warning, which came on an earnings call on Thursday, took the shine off of an initial rally that had pushed Amazon shares as much as 12 per cent higher in after-hours trading, leaving them about 2 per cent lower. During the March quarter, revenue at AWS, which accounts for the bulk of Amazon profits, grew 16 per cent to $21.4bn, ahead of forecasts for $21.2bn.
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