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☁️AWS Struggles to Keep Up with AI Zeitgeist

AWS Misses Out on AI Success Stories

TL;DR

AWS is lagging behind in the AI space, missing out on success stories like OpenAI and Vercel. The company needs to focus on being a great wholesaler rather than trying to compete in SaaS.

AWS is struggling to keep up with the current AI trend, missing out on success stories like OpenAI and Vercel. The company's legacy baggage and attempts to move up the stack have led to failures. AWS needs to focus on being a great wholesaler, emphasizing its infrastructure and logistics capabilities. OpenAI started running its big experiments on Azure in 2016, and AWS only caught up with a $50B investment this year. Vercel, built entirely atop AWS, highlights AWS's role as a wholesaler rather than a SaaS provider. AWS's new agentic experience layer for CloudWatch took over three hours to configure, highlighting its struggles in SaaS.

AWS Struggles to Keep Up with AI Zeitgeist — theregister

Key Points

1

AWS's legacy baggage from supporting customers for 20 years has led to missed opportunities in the AI space.

2

Next-generation providers like Railway, Vercel, and CloudFlare have a customer-forward philosophy, unlike AWS.

3

AWS's attempts to move up the stack have ended horribly, with products like Amazon Quick failing abysmally.

4

OpenAI started running its big experiments on Azure in 2016, and AWS only caught up with a $50B investment this year.

5

Vercel, built entirely atop AWS, highlights AWS's role as a wholesaler rather than a SaaS provider.

Why It Matters

If you're running a startup or a new tech company, AWS's struggles in the AI space mean you might want to look at other cloud providers like Azure or Vercel. AWS's legacy and attempts to move up the stack have led to missed opportunities and failures, making it less attractive for cutting-edge AI projects.

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