Rise above the cloud: Amazon's new chief executive
Thank you for standing by good day. Everyone and welcome to the amazon dot com hugh thousand and twenty financial results yesterday as it does. Every three months amazon held an earnings call it detailed a record quarter. The firm reported more than one hundred billion dollars in sales for the first time then came another disclosure today. We announced our founder and ceo. Jeff jesus will transition to the role of executive chair in the third quarter of this year. Jeff bezos at one time. The richest man in the world will step away from the helm of the company. He founded we'll mostly. I will reiterate that jeff is not leaving. He is getting a new job. He's going to be executive chair of board super important. Rolled order super. His successor will be andy jesse. A twenty year amazon veteran and head of amazon web services the company's enormous cloud computing arm since its founding. Mr bezos has insisted amazon continued to act like a feisty startup and he reiterated his catchphrase in a letter announcing the transition saying it remains day. One in fact it's day nine. Thousand seven hundred or so company has a goodly handful of challenges. That weren't around on day. One were the news. That jeff bezos is stepping back from day to day management. Amazon is a complete surprise. Patrick fouls the economists business affairs editor before the pandemic taken a backseat role. Then he returned to day to day management to deal with the huge surge in business the amazon sore during twenty twenty. He had two successes on the table. One of whom signaled he would leave the company so it was all set up for management transition but the exact timing of that wasn't clear until we've just had an how did amazon whether the the huge surge in business that the challenges that the twenty twenty brought well it's obviously been at the absolute halt of the digital surge. We've seen in the economy in two ways. First of all the e commerce machine. It runs both selling it so in product directly and doing logistics for other firms seen an enormous boom and business but also critically it's cloud thing business is behind a lot of the digital services we've been using from zoom to streaming services on the tv. So it's been absolutely central really to the economists response to the lockdown pandemic. He's about to say that. Mr basis is going out on a high note. I think he is in several ways. I mean you can judge by the financial performance of the company and its valuation which is close to an all time high. I think you can judge it by a also the social contribution. The foams made i mean. It's very controversial business. People were accused of being monopoly of exploiting workers and so on. But i think you can say that over the last year it's also showing that it's really an essential part of many people's lives and i'm sure. Jeff bezos will be thinking about last as he talks his departure but the say threats out there for amazon regulators. Continue to scrutinize it more than ever yesterday. The ftc one of these regulators reached a settlement with amazon for sixty million dollars. It'd been accused of believable more shortchanging drivers over tips and this continual pushback on labor regulation conditions of workers and there's also actually some nascent signs of competition from big firms like walmart which are finally getting their act together on digital. Well you mentioned that regulatory scrutiny which is also been directed at the likes of google and apple mr base is was one of the last founders to still be leading the tech giant he founded. I mean how significant is it to you that he's stepping aside here us right. The big five tech companies in america the have come to dominate its stock market and to some degree. Corners of its economy is now only one founder. Left in the hot seat mark zuckerberg and he's in a very hot seat indeed given facebook's problems so it does feel like it marks. Perhaps in you era when these huge companies have reached a point of dominance and yet some of the big questions that that has created remain unanswered will government. Break them up will. New competitors eventually arise and will be able to keep the same spirit of dynamism the propelled them to the success going for decades to come.