Amazon is more than an online store – Image: Jonathan Weiss|Shutterstock.com
Amazon: More than an online store
Most people know Amazon for its namesake e-commerce platform, but the world's most popular online retailer has expanded its business significantly in recent years. To underscore its ambitions to become a diversified technology company rather than just a one-trick pony, Amazon introduced a range of new hardware products last fall along with its own cloud gaming service.
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In addition to updating its Echo speaker lineup, Amazon also introduced new Fire TV streaming sticks, new Wi-Fi routers, and several Ring-branded security products, including an autonomous home security drone. Arguably the most exciting announcement was an AWS-powered cloud gaming service called Luna, along with a dedicated game controller to directly compete with Google's Stadia and Microsoft's xCloud gaming services.
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As the chart below shows, Amazon's core "online stores" business, which is first-party e-commerce sales recorded on a gross sales basis, accounted for just over half (51 percent) of Amazon's total revenue in 2020, with commissions Third-party providers, Amazon Web Services and subscription services make up the majority of the remaining 49 percent of revenue.
Amazon: More Than An Online Store
Most people know Amazon for its namesake e-commerce platform, but the world's most popular online retailer has expanded its business considerably over the past few years. Underlining its ambitions to become a broad-based tech company rather than a one trick pony, Amazon introduced a range of new hardware products along with its very own cloud gaming service last fall.
Aside from updating its Echo line of smart speakers, Amazon also introduced new Fire TV streaming sticks, new wi-fi routers as well as several Ring-branded security products including an autonomous security drone for the home. Arguably the most exciting announcement was an AWS-powered cloud gaming service called Luna, along with a dedicated game controller, to compete directly with Google's Stadia and Microsoft's xCloud gaming services.
As the following chart shows, Amazon's core “online stores” business, the first-party e-commerce sales recognized on a gross revenue basis, accounted for little more than half (51 percent) of Amazon's total sales in 2020, with commissions charged from third-party sellers, Amazon Web Services and subscription services accounting for the bulk of the remaining 49 percent of sales.
Amazon: More than an online store – Image: Statista
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