The straight-up, no-nonsense business value of AWS

July 21, 2016 bentannahill


How much of a threat are your competition?

Perhaps you work in an industry that has enormous barriers to entry and is full of old-school techies who are quite happy to bob along with the status quo. If so you can stop reading here, kick back, light up an enormous Cuban cigar, and chuckle quietly to yourself.

The likelihood is, however, that your competition is pretty tech-savvy and reasonably on-the-ball when it comes to getting innovative new products and services to market sooner rather than later.

And that keeping up with these folks – to say nothing of getting one up on them – requires quite a lot of hard work on your part.

At the same time, your consumers are not exactly getting more relaxed about the level of service they expect from technology.

To make things worse, there are so many tech trends – mobile, cloud, data, IoT, DevOps, DevSecOps, etc. – that knowing which ones are worth your time and which aren’t is an increasingly fraught endeavour.

The challenge, then, is how to gain and sustain competitive advantage, in a complex and cut-throat marketplace.

Enter AWS.

The business value of AWS is, fundamentally, that it is a business-enablement engine that helps you to gain and sustain competitive advantage. It maximizes the deployment of IT as a business driver.

With AWS you become more efficient at delivering new services, understanding your customers, enhancing productivity, and accelerating time-to-market.

How is this possible? This is because AWS:

  • supports expanding app environments at a much lower cost than on-premises environments
  • requires less time to manage, administer and update
  • provide a huge range of tools and services to implement solutions with minimum friction
  • provides tools to manage applications with ease and deploy quickly and cost-effectively
  • provides agility, scalability and improved performance to better address business opportunities and enhance user productivity
  • helps you to turn huge quantities data into usable information for your business
  • reduces risk and minimises the frequency of downtime for apps

But what does that mean in the real world?

According to the IDC, over 5 years businesses save an average of $1.5 million per application that they are running in an AWS environment. An ROI of 560% [1].

That equals $18.2 million per organization over that time period.

What’s more, the value that you derive from AWS accelerates over time [2]. There is a correlation between how long a company has been using AWS and their ROI. According to the IDC, at 36 months, organisations get back $3.50 for every $1.00 they spend. This increases to $8.40 at 60 months!

This means that maintaining that competitive advantage – at least from a technological perspective – becomes less and less of a challenge over time as the business value of AWS compounds, and as you get more and more time and energy to devote to maintaining that competitive advantage in other areas of your business: product innovation, customer experience, marketing, etc.

Making you a threat to your competition.


[1] IDC (2015) Quantifying the Business Value of Amazon Web Services
[2] IDC (2013) The Business Value of Amazon Web Services Accelerates Over Time


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