Brian Olsavsky: Yes, sure. Thanks, Mark. Let me start with that second question. So again, if we rewind to our last conference call, we had seen 16% AWS revenue growth in Q1, and the growth rates have been dropping during the quarter. And what I mentioned was that April was running about 500 basis points lower than Q1. What we’ve seen in the quarter is stabilization and you see the final 12% growth. I will stop for a moment and just put that in perspective. So again, last Q2 last year, we had close to $20 billion of revenue and we grew that $2.4 billion. So that’s — while that is 12%, there’s a lot of cost optimization dollars that came out and a lot of new workloads and new customers that went in. So there was — on our base, it’s very large numbers.
And when customers start to — that cost optimization work, they can take some of their spend down for a while as they do that, and we help them do that and been part of our DNA ever since we started AWS. So that’s all good. What we’re seeing in the quarter is that those cost optimizations, while still going on, are moderating and many maybe behind us in some of our large customers. And now we’re seeing more progression into new workloads, new business. So those balanced out in Q2. We’re not going to give segment guidance for Q3. But what I would add is that we saw Q2 trends continue into July. So generally feel the business has stabilized, and we’re looking forward to the back end of the year in the future because, as Andy said, there’s a lot of new functionality coming out with — and there’s a lot of spend that will be in this area for all the great solutions that are out there for generative AI and large language models as well as machine learning solutions that we’ve always had for customers.
So optimistic and starting to see some good traction with our customers’ new volumes.
Andrew Jassy: Yes. I’ll just underline one point Brian made and then quickly get to the Amazon Business point. Just if you think about the AWS business being an $88 billion revenue run rate business, to grow double digits on a business that size with the amount of cost optimizing that’s been happening, to grow double digits, you have to be adding a lot of new customers and a lot of new workloads just to grow double digits. So when I talked about last quarter how I liked a lot of the fundamentals that we were seeing in the business with respect to customer pipeline, the new workloads, the migrations happening, what the team is rolling out functionality-wise, that’s kind of what I’m talking about. And as we start to see cost optimization attenuate and more of the workloads, new workloads that people took those cost optimizations and actually started to plan come to fruition, not to mention what’s coming with generative AI, there’s a lot of growth in front of us on AWS.
Just on your Amazon Business question, Mark, $35 billion annual run rate for gross sales is pretty strong growth. And if you look at it year-over-year, it continues to be very strong. But I like the way you’re thinking, Mark, and it’s almost like you’re in some of the meetings that we’re in where I asked the very same question. The team is working hard to build $100 billion-plus business over time. And I think that the business has grown to be pretty large already, and I still think we only have a fraction of the features that we need to address more of the enterprise at this point. There’s all sorts of companies ordering obviously from Amazon Business. But the bigger procurement workloads, there are certain features that you need to make them much easier in the way that companies are used to buying in those big procurements.
