Amazon Web Services (AWS), the undisputed king of the public cloud, could reach revenues of $1 billion in the final quarter of the year, if the impressive growth path the company has achieved so far continues, research firm Technology Business Research, Inc. predicted today.
Based on an analysis of parent company Amazon.com's latest earnings report, TBRI predicts that AWS's third quarter revenue grew 136% year-over-year to $850 million. AWS does not explicitly report its cloud revenues.
"Coupled with newly launched incentives for developers, continued investments in cloud computing products and support is projected to push AWS revenues above $1 billion in 4Q13 (up 145% year-to-year) for a 2013 trailing twelve month total of an estimated $3.2 billion," TBRI analysts Jillian Mirandi and Michael Barba reported today.
A big focus for AWS is expected to be on acquiring government workloads to run in its cloud. The company is already a leader in this area with a specific region of its cloud already dedicated to government workloads, named GovCloud. This summer AWS opened up a new Northern Virginia headquarters for its public sector business, according to TBRI. AWS is expected to hire engineers with top security clearance to work at that facility and expand its lead in this market.
As for the enterprise market, TBR expects AWS to continue to make it easier to use its systems, with a specific focus on big data storage and analytics, and migrating data into its cloud.
Parent company Amazon.com reported Q3 earnings of $17.09 billion, which beat market expectations.