Amazon profits soar, Bezos doubles down on Prime
Q1 2019 saw a doubling of Amazon’s profits, likely driven in large part by continued success with Amazon Web Services (the cloud). The company warned that Q2 profits would be reduced by costs from transforming the Prime service from two-day delivery to one day. MarketWatch
dis-rup-shun: We know that the Prime service has been one of the most successful programs in shopping history, converting people who are not that interested in shopping to faithful purchasers of anything that can be ordered with a click of the mouse. eMarketer predicts 51% of U.S. households will be Prime members this year. Consumer Intelligence Research Partners reports that Prime members spend $1,300 per year with Amazon, meaning a 1% increase in Prime’s share of U.S. households is worth $1.63 billion. Amazon is one of the few public giants that is not beholden to Wall Street, meaning the company is not afraid of delaying profits for strategic growth — a strategy that other companies would be wise to emulate, given Amazon’s results and stock price.
Microsoft’s valuation surpasses $1 trillion
Microsoft also had a strong quarter, with its revenues from its Azure cloud services growing 73% as the company’s growth overall is up 14% from last year. Azure is giving Amazon Web Services competition in the cloud space. Microsoft joins Apple and Amazon in the Trillion Dollar Club. CBS News
dis-rup-shun: Nadella, Microsoft’s CEO, got the memo early enough that sales of software for the PC were declining as computing has shifted to the cloud. Microsoft, unlike its PC partner, Intel, has been able to transform its solutions to be both cloud based and device based, taking advantage of the rise in mobile computing and IoT, even if the company missed being the mobile and IoT operating system provider.
Dumb passwords get hacked
ZDNet offers a list of the most commonly used passwords that are often used, and often hacked. Your name, favorite football team, and favorite band are at the top of the list and the most commonly hacked password is ‘123456’ used by 23.2 million accounts. ZDNet
dis-rup-shun: Consumers are difficult animals — being outraged when hacked but too lazy to at least create a challenging password. Passwords, however, are the most antiquated means of authenticating accounts in an age of facial recognition, retina scans and fingerprint readers. The continuous increase in the damages by hackers, spoofers and phishers should push the market into adopting readily available and superior technologies. Until then, add some special characters, caps and tricky letters to your password.
Kiwi robots delivering food to 12 colleges
If you are a student at one of these colleges, you can get your late night snack deliverd by a semi-autonomous robot on wheels. The devices run on four wheels, have a locked cooler inside, and are guided by operators monitoring the robot’s progress from consoles in South America. Colleges that will experience Kiwi:
- Northern Illinois University
- University of Oklahoma
- Purdue University
- Texas A&M
- East Tennessee State University
- University of Nebraska-Lincoln
dis-rup-shun: These are the days of the wild-wild west when it comes to robots and flying robots (drones). Universities, cities and buildings will undoubtedly begin to charge fees for access on streets, sidewalks and even skies, and insurance companies will have to cover drone or robot collision and liability insurance, while police will have to enforce infractions of robotic access regulations. $1.90 of your airplane ticket goes to “landing fees.” Expect similar fees added to your late night burrito delivery.