Werner Vogels is a frequent guest at the technology conference DLD, which is always held in January in Munich. The sixty-year-old Dutchman is in charge as CTO (Chief Technology Officer) in the Top Management of Amazon.com the technology strategy of the Online-goods house. So bird is considered one of the fathers of the successful Cloud division of Amazon. Research and development are the key to success, he says.
Mr bird, you are the chief technology officer of Amazon. What are you doing, exactly?
My Job is to promote, innovation on behalf of our clients. In the case of Amazon, no group-wide IT Department. Developments take place where they are needed. The Manager of the Department of books, shoes, or diapers sit together with the IT developers and discuss innovations. When I started in 2005, it went to the CTO to define the technology strategy, Amazon. In the meantime, I'm usually at the customer and see how our products are used and what are the challenges.
What is the customer currently?
Many companies want to brace the digital change, you the experts in your team. Some of the processes that you have outsourced earlier, back into itself – and that, too, is a lack of talent. Finally, our customers are struggling with of flood of data and the ways to evaluate information. A place where there is a lack of staff. We try to bundle on Amazon Web Services, AWS, Cloud services in our data centers and as a package to offer to solve such problems at the customer.
"Any of Amazon's employees can and should bring in New in his area."Werner Vogels
How important is the progress for the business success of Amazon itself?
If we cease to become better, we die a thousand deaths: the First a is have in this field more success, then someone in another. With time, Amazon would lose its importance. But that is the life of the normal course in the economy. Therefore, we must always have new ideas and our business accordingly. Every Amazon employee may and is encouraged to bring in New in his area. It is only when we have a lot of capital to invest, with also decides the upper Management. Not sometimes goes wrong, such as with the Fire Phone, our Smartphone – sometimes, as in the case of AWS.
they are considered to be one of the fathers of the Amazon Cloud service AWS. Twelve years ago there was not this Service, today Amazon has annual sales of $ 27 billion.
Amazon benefits from AWS, and Vice versa. The retail and Cloud business cross-fertilize each other. Our stationary Amazon-Go shops around would not be possible without the technology base of the AWS is not conceivable services that we offer to each and every on the AWS Cloud. Conversely, for example, we use the recommendation algorithm trading business for our Cloud customers.
Cloud Services, there are not, however, only Amazon, Google, Microsoft, and countless regional service providers with play. What distinguishes your offering?
There are, fortunately, no algorithm for experience. We are the Cloud-pioneer, have lowered our prices now 69 Times, and continue to invest. Every year more than a thousand new features and services have come far in the Cloud. Our customers appreciate this. But the market is big enough, that other part of it: global players as well as local or those that specialize in industries.
pictures: More rain forest than in the office
What do you think? Will AWS be even bigger than the retail business of Amazon?
a few years Ago I would have been smiling about this question. Today, I could well imagine that the Cloud business will someday be larger than the trade area. But it won't be easy: The core business of Amazon is growing year on year by more than 20%.
Would be the spin-off of AWS in a private company?
There are currently no plans for it.
"language creates human beings to have access to technology, which was denied before."Werner Vogels
Where do you see growth areas of Amazon in addition to the Cloud-business?
learning machines, and the processing of natural language are two exciting areas. The progress in both areas our customers experience with our virtual assistant Alexa, which is built into Echo speakers and, in the meantime, many other devices, from the microwave up to the car. Natural language, the Alexa to understand, is for us the ideal interface to the Computer. Keyboard and mouse or swipes on a Smartphone Display, however, input methods, which dictate us the machines. Language creates people with access to technology, which was denied previously.
What are you thinking?
With the International Rice Research Institute, IRRI, for instance, we have set up a project. The Institute developed from the Philippines made of resistant rice varieties that withstand drought or floods. For some time it maintains a database of the AWS Cloud. Only the farmers had on the field, no Computer, data to obtain. Therefore, we now use voice services. The farmers start the query with your Smartphone. And Machine Learning, the database learns and makes recommendations for the amount of fertilizer. Such examples, there are some in your private environment: Think of seniors, those dealing with technology using language easier.
Alexa because artificial intelligence? Me miss you don't understand often enough, when I note the exact Syntax.
We use machine Learning in the case of Alexa, a sub-area of artificial intelligence, as well as the processing of natural language. The process is more complex than it seems: First of all, the voice input must be detected, then, in the Text, and the command is understood to be converted, then the corresponding action is started. Finally, the Text is converted back into voice and sent to the user.
"The Cloud has changed the IT landscape fundamentally."Werner Vogels
Many of us have fear, Worry about the privacy, that Alexa is spying on you.
Alexa wakes up only on the activation word. Is stored, securely encrypted, and only what the user says as a command. Nothing else. Neither on the device nor in the Cloud. Customer trust is the most important capital. To protect the privacy of our customers is our top priority, and that will never change.
the DLD conference, a spokesman said: "If data is the new Oil, is China to Opec." What are the opportunities for Western companies to stay?
The Cloud, IT has changed the landscape fundamentally. IT is no longer a differentiating factor, as a few decades ago. Everyone has would like to by the Cloud access to compute and storage resources, as much and as long as he. In this respect, I agree with the member: that's Right analyzed, and used data can provide the advantage in the global competition.
But European companies have a hard time internationally.
There are so many innovations from European companies. You just have to find their place, they are really good. SAP is the classic example of a European group that has made a global breakthrough. But think of the music streaming service Spotify or the telecommunications provider, Skype, the are ideas from Europe.
Skype now belongs to Microsoft. The USA in the IT sector is not always the nose in front, because of the Size of the market?
This is of course an advantage of location. I feel in many places of the world and a Hunger for entrepreneurship, I will be in Europe frequently miss. On the other hand: a Young American founders assume that the Rest of the world is ticking as the United States. European founders are aware of the diversity of tax systems and languages. No wonder, is Switzerland in the Global Innovation Index in 2018 on the first place. The desire for Innovation makes all the difference. Do you know which companies invested the most in research and development? Amazon – our Budget is twice placed as high as that of the second, the Microsoft.
the stock market ran it last also good for Amazon: The price has doubled since 2017. What could stop the run?
Warren Buffett once said that the stock market follows in the short term, their whims. In the long run, we have shown that our innovations for investors to pay off. This course, we will continue. As Jeff Bezos in 1997, in the first letter to our shareholders has written: We think of Amazon in the long term. And we focus on the customer – not the investor.
(financial and economic)
Created: 29.01.2019, 16:05 PM