Amazon’s Devoted Cloud Customers Face A Decision After Outages: Leave, Stay Or Diversify?

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Forbes asked 45 AWS customers whether recent outages had prompted a rethink of their commitment to the cloud leader.

As companies increase their reliance on cloud providers to store vital data, a rash of AWS outages has riled clients, with some looking to hedge their bets with access to other platforms.suffered its third major outage in a matter of weeks last month – affecting millions of people, from Citi Bike riders to Disney+ viewers and Delta Airlines customers – almost none of its corporate clients expressed frustration publicly.

AWS has long been the cloud leader, holding 41% of the global cloud infrastructure market, and generated $16 billion revenue in the third quarter of 2021. Though as a first-mover cloud vendor since it launched in 2006 – becoming essential for small and medium businesses looking to outsource their networks – AWS has been fending off tough competition from Microsoft, which Gartner says grew twice as fast as AWS in 2020 as it moved to secure large corporations.

AWS also said it believed clients should stick to multiple cloud regions within AWS, rather than entering multi-cloud agreements with other vendors to manage exposure to outages. “A multi-cloud architecture is technically complex, creates increased latency, and results in lower actual availability and resiliency than architecting for high-availability on AWS,” the spokesperson said.

American Express, another AWS customer, echoed the need for access to multiple clouds. Evan Kotsovinos, American Express’ global head of infrastructure, wouldn’t say whether Amex was affected by the AWS outages, but says the company has resiliency built in across its network because it has agreements with multiple vendors, in multiple regions. Amex has been building out its relationship with Oracle, for instance. “Different clouds have different strengths,” says Kotsovinos.

 

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