E-commerce behemoth Amazon has reported $21.4 billion in net sales for its Cloud arm Amazon Web Services (AWS) -- up 20 per cent year-over-year -- in its fourth quarter that ended December 21.
With this, AWS now represents an annualised sales run rate of more than $85 billion.
"Starting back in the middle of the third quarter of 2022, we saw our year-over-year growth rates slow as enterprises of all sizes evaluated ways to optimise their cloud spending in response to the tough macroeconomic conditions," said Brian Olsavsky, Chief Financial Officer at Amazon.
These optimisation efforts continued into the fourth quarter.
"Some of the key benefits of being in the cloud compared to managing your own data centre are the ability to handle large demand swings and to optimise costs relatively quickly, especially during times of economic uncertainty. Our customers are looking for ways to save money, and we spend a lot of our time trying to help them do so," Olsavsky said during the company's earnings call with analysts.