GE will inevitably sync all of its various components (everything from healthcare to energy) with data– which will provide the company with everything from data captured from sensors on turbines to real-time industrial analytics. Industrial data in general is supposed to grow at double the rate of all other big data segments over the next ten years, according to Reuters. GE is getting in early and helping to pioneer it, and guess what? Amazon is too.
Amazon will be providing the first online cloud service for General Electric Company (NYSE:GE)’s Industrial Internet. The recently announced partnership will also build upon already established GE partnerships with IT companies such as Pivotal and consultant Accenture Plc (NYSE:ACN).
The bottom line
Amazon Web Services (AWS) scored a big victory with the CIA until it was snatched away and recalled because of IBM. The CIA did, however, seem to believe that AWS was far superior to IBM’s offerings–even with a larger price tag. If Amazon does finally get the deal finalized, they will be monetizing their cloud services in a big way. It seems likely that Amazon will trump IBM at this point as well.
The Industrial Internet will also be a huge player in a rapidly expanding market. GE utilizing AWS for their Industrial Internet is a huge win for Amazon. GE is a massive conglomerate that, according to BusinessWire, is looking to “turn big data into real-time insight” as well as “benefit major global industries including aviation, healthcare, energy production and distribution, transportation and manufacturing. Combined with the new GE Predictivity(TM) services and technologies available today, airlines, railroads, hospitals and utilities can manage and operate critical machines such as jet engines and gas turbines in the cloud – running businesses better by increasing productivity and reducing waste and downtime.”
GE has huge plans to move industry into the cloud, and Amazon will be the company helping them do it. The Industrial Internet is the future, and Amazon owns the cloud surrounding it. Amazon is also dethroning current tech kings like IBM and making major moves that not too long ago didn’t seem like moves a company like Amazon would make.
Beating out IBM for a finalized CIA deal would be another huge victory for the company, but the GE deal alone is a huge accomplishment. Amazon is aggressively moving into the top spot in cloud, and monetizing this success should provide increasing revenues and much needed earnings for the company in the future.
Everyone knows Amazon is the king of the retail world right now, but at its sky-high valuation, most investors are worried it’s the company’s share price that will get knocked down instead of competitors’.
The article Is Amazon Winning the Cloud Wars? originally appeared on Fool.com.
Joseph Harry owns shares of International Business Machines. and General Electric Company. The Motley Fool recommends Amazon.com. The Motley Fool owns shares of Amazon.com, General Electric Company, and International Business Machines. Joseph is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.
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