Apple spends more than $30 million on Amazon Web Services each month

Apr 26, 2019, 00:26
Apple spends more than $30 million on Amazon Web Services each month

Apple is spending more than $30 million per month on Amazon's cloud.

As the war for cloud share in the tech market is increasing, as every company came with different strategy to grasp its share.

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Although Apple revealed in the past it has been using AWS for iCloud storage it never officially disclosed that other Apple services are also leveraging AWS or third-party clouds. But Apple look different when it grasps its cloud share, the company not only investing in its iCloud as well as venturing in Amazon's cloud.

Apple and Amazon did not respond to Business Insider's request for comment at the time of publication. In that light, it's clear that Apple is definitely a major AWS customer, with these figures putting its spending well ahead even of companies that were born in the era of cloud computing. In fact, in January of 2018, Apple plans to spend at least $10 billion on US-based data centers. As well as last month Apple also announced new subscription services for magazines and video.

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CNBC reported Monday that Apple was on track to spend $30 million a month on cloud services from AWS during the first quarter of 2019, making it one of the bigger customers of the cloud giant's services. AWS, of course, is Amazon's market-leading cloud service and computing platform.

And Pinterest, which also uses only AWS, has a six-year deal with AWS that requires it to spend at least $750 million on cloud infrastructure services through July 2023, according to its S-1 regulatory filing. That five-year deal seems to indicate that Apple intends to maintain its investment in AWS: If Apple is already spending over $360 million every year, it'll easily surpass the $1.5 billion minimum mandated by that five-year deal. Lyft will have paid AWS close to $300 million by 2021 according to its contract.

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