Amazon’s AWS Revenue Surges in Q3 2023, Powered by Cloud Deals and Expansion

Amazon Web Services (AWS), the cloud computing arm of Amazon, reported a significant increase in revenue for the third quarter of 2023, highlighting robust growth and pivotal partnerships across various industries.
AWS reInvent 2023 eventDuring the third quarter of 2023, AWS generated $23.1 billion in revenue, marking a substantial 12 percent year-over-year growth. This impressive performance further solidifies AWS’s position as a #1 player in the global cloud computing market — ahead of Microsoft Azure and Google Cloud.

AWS’s operating income for the same period reached $7.0 billion, a notable increase compared to the $5.4 billion reported in the third quarter of 2022.

Several significant partnerships were announced during the third quarter, reflecting AWS’s growing influence and capability to address diverse industry needs:

BMW Group: BMW selected AWS to power its next-generation automated driving platform. The collaboration leverages BMW’s Cloud Data Hub on AWS, harnessing AWS’s compute, generative AI, Internet of Things (IoT), machine learning (ML), and storage capabilities to accelerate the delivery of highly automated BMW vehicles.

NatWest: The UK-based bank NatWest expanded its partnership with AWS to promote the responsible use of AI. This collaboration aims to co-create AI products, utilizing foundation models available through Amazon Bedrock to enhance the financial well-being of its 10 million customers.

Occidental: International energy company Occidental chose AWS as its preferred cloud provider. AWS will help Occidental improve operational efficiencies, reduce IT infrastructure costs, and develop systems for carbon removal plants, expected to capture 1 million metric tons per year. AWS’s analytics and ML services, such as Amazon EC2 and Amazon EBS, will be pivotal in achieving these goals.

PwC: PricewaterhouseCoopers (PwC) announced a collaboration with AWS to deliver $800 million in business value to clients. This partnership will strengthen PwC’s offerings, including cloud migration, data and analytics, cybersecurity, customer experience, generative AI, and climate reporting to transition to net-zero carbon emissions.

EVERSANA: Provider of commercial services to the global life sciences industry, EVERSANA, joined forces with AWS to leverage Amazon Bedrock for generative AI use cases, aimed at enhancing efficiencies, business value, and patient outcomes in the pharmaceutical and life sciences sector.

DS Smith: Sustainable packaging provider DS Smith will utilize AWS’s global infrastructure, advanced analytics, IoT, AI, and ML to drive business intelligence, enhance digital customer experiences, and achieve automation at scale across its supply chain.

Abdul Latif Jameel: An internationally diversified business, Abdul Latif Jameel selected AWS as its preferred cloud provider to develop generative AI applications that will enhance the in-car experience for customers while reducing development costs.

NCSOFT: South Korean game developer NCSOFT deployed seven large language models (LLMs) on Amazon SageMaker JumpStart to democratize generative AI in Korea and expedite the development of gaming and creative applications.

Genpact: The global professional services firm Genpact expanded its collaboration with AWS to transform financial crime risk operations using generative AI and LLMs. This integration aims to enhance efficiencies and impact for their clients.

In addition to these partnerships, AWS continued to expand its infrastructure footprint by launching the AWS Israel (Tel Aviv) Region and a new AWS Local Zone in Phoenix, Arizona. The Israel Region is projected to create 7,700 full-time equivalent jobs annually through a planned investment of $7.2 billion by 2037.

Amazon’s AWS continues to demonstrate robust growth, fueled by innovative collaborations and strategic expansions, reaffirming its role as a major player in the cloud computing industry.