The head of Amazon Web Services (AWS), Andy Jassy says CEO Jeff Bezos has no plans to spin off AWS because the two businesses complement each other.
"One of our largest customers is Amazon, the retailer. They use all of our services in a very substantial way," Jassy said.
Forrester analyst Jeffrey Hammond agrees, saying that there are a lot of synergies across Amazon's various businesses that are only beginning to be realized: AWS provides the back end infrastructure powering Amazon's Kindles, Prime streaming video and a host of commerce services for the retail giant and its sellers.
"As the roll out new services like Prime Pantry and Fresh they need the capability to instantly scale, why risk having to do it on someone else's infrastructure?," says Hammond.
"In the future Amazon may have fleets of delivery drones or millions of Alexa devices directly taking orders from customers. They need infrastructure to enable this."