Looking to wring some cash flow from its massive investment in computing infrastructure, Amazon.com Inc. is trying to sell software developers an online storage service, dubbed Amazon S3.
"The motivation is to enable developers to worry about building innovative applications with their data, and not to worry about where to store it," says Adam Selipsky, VP of product management and developer relations at Amazon Web Services, an Amazon division.
Amazon Web Services already has about 150,000 registered developers, and Selipsky says some of them asked for help with storage, among other things. As it turns out, Amazon, like Google and Yahoo, has a fast, reliable, scalable computing infrastructure based on commodity hardware that it can make available quite affordably. AWS is charging $0.15 per gigabyte of storage per month, and $0.20 per gigabyte of data transferred. There's no minimum fee. Developers pay only for what they use--rather than having to purchase storage and bandwidth in advance, with additional fees for exceeding the prepaid capacity.
"And we're going to charge you the same amount for the same reliable service, regardless of how big of a customer you are," says Dave Barth, product manager for Amazon S3. "We think that will do a lot to empower smaller developers to innovate."
Selipsky dismisses the notion that selling storage infrastructure moves Amazon into closer competition with Google. "We've been in this business since 2002, helping developers innovate and build businesses using our technology and our data," he says. "I don't view us as being particularly in competition with anybody around these services." Rather, he expects the new service will help AWS developers innovate.
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