Amazon Web Services (AWS) announced in November plans to reorganize its 60,000-strong sales team.
An updated report comes from The Information, which cites AWS Sales SVP Matt Garman’s plans for an overhaul as well as people familiar with the matter and an internal document.
According to the report, Garman plans to consolidate teams that have developed conflicting sales strategies in a bid to streamline the business’s approach.
AWS plans to change sales staff structure
Garman’s intention is to reassess how AWS assigns its staff to help customers amid what appears to be growing complaints from clients about the service they receive.
Although Amazon’s cloud business continues to grow, the division's revenue growth last quarter wasn’t far off half that of Google’s, while Microsoft’s growth was more than double Amazon’s, indicating that its rivals had a better quarter and alluding to the potential that they may continue to grow at quicker rates over coming quarters.
However, because each company reports its figures differently, drawing like-for-like comparisons is not as simple. Furthermore, the monetary value defining AWS's growth isn't accurately illustrated in its comparably smaller percentage, as an AWS spokesperson confirms TechRadar Pro in an email:
"AWS continues to be the significant leader in cloud infrastructure in customers, revenue, security, operational performance, and partner ecosystem—and we believe that AWS had the largest absolute growth in revenue of any cloud provider last quarter at $919m. Others might report a larger percentage of growth, but they’re working from a considerably smaller base. It’s also important to note that not everyone breaks out their cloud numbers as transparently as AWS does, so it’s impossible to compare apples to apples."
Like any other cloud business, AWS has also been investing heavily in artificial intelligence, which has taken off over the past 12 months. The company now has a growing portfolio of tools to help developers embed and deploy the technology.
More broadly, Amazon as a whole laid off more than 27,000 workers in the 2022-2023 period of redundancies. It has since announced thousands of vacancies, including temporary and seasonal roles to help sustain its ecommerce business.
TechRadar Pro asked AWS whether the restructuring would result in the loss of any jobs. A company spokesperson told us:
“The goal of the restructure announced within the AWS Sales, Marketing and Global Services is organization is intended to better reflect customers’ needs in the way those teams are organized. Suggesting there are other motives is inaccurate.”
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