Amazon.com Inc. (AMZN) Web Services Bigger Than Believed?

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That number is based on an estimate by Macquarie that Amazon Web Services will account for about $3.8 billion in revenue for Amazon.com Inc. (NASDAQ:AMZN), which is about 5 percent of the estimated total. The $19 billion figure comes from multiplying that estimate by five to determine a valuation of the division if it were to be spun off as its own company. In the estimates, Macquarie predicts that AWS will eventually grow to $8.8 billion in revenue by 2015, adding its share of overall company revenue from the current 5 percent estimate for 2013 to 7 percent in two years.

By the way, the gross profit estimate for AWS is expected to be 20 percent of the total for Amazon.com Inc. (NASDAQ:AMZN) in 2013 and grow to nearly 30 percent in two years.

What are your thoughts about Amazon.com Inc. (NASDAQ:AMZN)? Do you believe in the reports about Amazon Web Services, and how does this affect how you see the company moving forward? We’d love your feedback and comments about this online retailer and its influence on consumers.

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