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Disclaimer: The blog posts and comments on this blog and posts on social networks are not investment recommendation, are provided solely for informational purposes, and do not constitute an offer or solicitation to buy or sell any securities. The opinions expressed on the blog are Petar Posledovich's. Petar Posledovich does not guarantee the accuracy of the information presented on this blog and social networks. The information presented is "as is". The blog is stocks analysis and valuation, Bitcoin, Cryptocurrencies, Artificial Intelligence, AI, deep-learning focused. Independent, unbiased AI insights. Petar Vladimirov Posledovich is not liable for any investment losses incurred by reading and interpreting blog posts on this blog and posts on social networks. Conflicts of interest: I may possess some of the securities, currencies or their derivatives mentioned in the blog post and posts on social networks! The blog is property of Wolfteam Ltd. www.wolfteamedge.com Respectfully yours, Petar Posledovich

Thursday, July 14, 2022

Cloud Computing Profitability


Cloud computing as a business is very profitable as Amazon, Microsoft and Alphabet's cloud businesses have net profit margins often exceeding 20 %.

Why is cloud computing so profitable?

Because having all servers at one company, Amazon's AWS for example, enables Amazon to exponentially service the whole world with relatively fixed or slowly growing number of software developers, computer servers and support. That is, Amazon's AWS fixed cost base is growing quite slowly, while its cloud business scales exponentially.

I forecast cloud computing will have 300 billion USD yearly revenue run rate in 7 years.


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