Amazon.com for rent

by billso on Saturday, 4 November 2006

From Business Week and ReadWriteWeb: Jeff Bezos, founder and CEO of Amazon.com, is allowing customers more access into Amazon’s $2 billion e-commerce engine.

The online retailer will now rent many of its resources and systems to almost anyone who is willing to pay. This includes rack space in Amazon’s 20 warehouses in the US and other countries. Companies can rent digital storage space at 15 cents per gigabyte, or get computing time in Amazon’s server farm.

Is Amazon renting its core competencies, or is the company making it harder for new entrants to challenge the retailer’s dominant position in online sales?

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