Recently a financial analyst Troy Wolverton predicted that Amazon, the e-commerce giant, should supass a capitalization of $1 trillion in 18 month. The statement is based on the many parts of Amazon juicy business: AWS(amazon public cloud), e-commerce, and the new Echo smart voice device.
AWS has been a quite popular and competitive business for years, as more companies are shifting their IT infrastructure to cloud rather than their own data center. And so, AWS contributes to a lion's share in Amazon's net earnings.
E-commerce field is where AWS got it fame, and continues to maintain a 'iron grip' on the retail sector. Through its Prime membership scheme, the e-commerce platform is able to retain a golden group of consumers, which spent about twice of non-members on the e-commerce site. Such a powerful retail site also eases the distribution of Amazon's new business. For example, amazon is zero in on the health-care sector by trying to lower the price of health-care insurances.
In Q3 2017 alone, Echo the smart speaker made a sale of over 20 million devices. The total revenue of Echo should be no less than $5 billion in 2017. Troy estimated a $20 billion value from Amazon's echo and home AI ecosystem. The Echo business is expects to remain to be a major growth force of Amazon in coming years.
The development map of Amazon is showing a major trend in the business world, that is, cloud and AI is catching a prevailing po