Coordinated plan or margin recovery? @Glick
Amazon has a long history of selling its infrastructure to third parties! See merchants, FBA, and oh, let’s say AWS!
I expect this is basically part of AMZL third party business
Yeah agree with @Glick. Plus more likely due to the contraction of the behavioral shift during COVID and how Amazon mis-calculated how long that shift would last. Amazing that 100 of the best quants in the world missed that one. However when you mix behavior and finance wired things do tend to happen.
I’ve expected this all along, in that they’re building out a differentiated (at least from their perspective) service they wanted to see, and know that others would like to use it as well. While they’re not in the spinoff mode, if governments move against them for antitrust I could see this as one of the six-plus divisions that are created (first-party retail, marketplace, warehouses, delivery service, server hosting, streaming content, and Prime [which ends up with licensing relationships to the others]).