Tuesday 26 April 2011

Amazon betting on cloud computing, sacrificing some profit

Amazon.com Inc is thinking long-term when it spends heavily on "the cloud," but investors may see a little more short-term rain when the online retailer reports its earnings on Tuesday.

The company has been willing to sacrifice some profitability to win customers and build its new businesses. It has invested heavily in areas such as "cloud computing" -- which allows companies to store data on its servers -- to take on its rivals Google Inc and Apple Inc.

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Amazon betting on cloud computing, sacrificing some profit