Amazon.com Inc. (NASDAQ:AMZN) announced a leadership change within its cloud-computing division, Amazon Web Services (AWS), as current chief Adam Selipsky prepares to step down. Matt Garman, who presently oversees sales and marketing for AWS, is set to take over as CEO starting June 3.
Since taking the helm in 2021, Selipsky is departing next month to pursue new opportunities, according to an email from Amazon CEO Andy Jassy to the company’s employees. Under Selipsky’s leadership, AWS has continued to significantly contribute to Amazon’s operating income, maintaining its status as the leading provider of rented computing power and data storage.
AWS has shown robust sales growth, marking its strongest in a year last quarter. It is projected to generate over $100 billion in annual revenue for the first time. The division is also intensifying efforts to expand its artificial intelligence services, playing catch-up with competitors like Microsoft Corp. (NASDAQ:MSFT) and Alphabet Inc. (NASDAQ:GOOGL, NASDAQ:GOOG) in the development of large language models and generative AI technologies. Last month, Amazon executives highlighted that their generative AI operations have evolved into a multi-billion dollar business.
Jassy praised Garman’s appointment, noting his comprehensive skill set, focus on customer satisfaction, and innovative approach as key attributes for leading AWS. Garman, a seasoned AWS engineer, took on leadership of the sales and marketing teams in 2020. He began his journey at AWS as an intern in 2005 and quickly rose through the ranks, becoming one of the division’s earliest product leaders.
Despite the leadership transition, Amazon’s shares experienced a slight dip in New York trading but have accumulated over a 20% gain this year. Selipsky, who briefly left Amazon to head Tableau, a data visualization company acquired by Salesforce.com, returned to Amazon three years ago, surprising many who anticipated Garman as the next AWS chief.
Featured Image: Megapixl
Author Faith Yakubu 
