You can almost see the business school case study developing.
“Rather than focusing on core competencies leadership panicked and rushed a poorly guided focus on GenAI without the right leadership and technical talent. Shifting resources towards this price competitive space eroded margins, and took focus away from core areas where AWS was a technical leader. Several years of misguided strategy, poor leadership, and intense fiefdom building during the chaos spelled the beginning of the end of AWS’s once dominant position in cloud. While still a respectful business, AWS is now a low margin commodity player that’s struggling to innovate and is the number 3 cloud provider by revenue.”
I still don't see how having GenAI on the same platform as your database and APIs is somehow the "AWS killer". OpenAI isn't going to suddenly be hosting my APIs and databases. Nobody in GenAI is going to fill the position that AWS holds, except maybe Microsoft Azure, but even then nobody is moving large infrastructure from AWS to Azure just because Microsoft is friends with OpenAI (as of today). And most "cloud" projects don't require "AI", except to be buzz-wordy. "Cloud" and "AI" are two distinctly different businesses with vastly different use cases.
“Rather than focusing on core competencies leadership panicked and rushed a poorly guided focus on GenAI without the right leadership and technical talent. Shifting resources towards this price competitive space eroded margins, and took focus away from core areas where AWS was a technical leader. Several years of misguided strategy, poor leadership, and intense fiefdom building during the chaos spelled the beginning of the end of AWS’s once dominant position in cloud. While still a respectful business, AWS is now a low margin commodity player that’s struggling to innovate and is the number 3 cloud provider by revenue.”