Will Capital One’s 106M Name Data Breach Cut Into AWS’s Growth?
Should you own Amazon stock? It would certainly be a better investment if its most profitable business, AWS, was growing faster. And the odds of that happening would be better if the industry in which it competes — cloud services — was accelerating.
But news that Capital One — a proud AWS customer whose stock plunged over 5% in premarket trade on July 30 — suffered a 106 million customer data breach makes me think it’s possible that AWS’s growth might slow down even more (AWS grew over 40% in previous quarters and slowed to 37% in the latest quarter) and give pause to companies in the middle of moving their IT operations to the cloud.… Read more