According to TechCrunch, Adam Selipsky will step down from his position as CEO of Amazon Web Services.
Andy Jassy, Amazon’s CEO, communicated in an internal memo and on the company’s blog that Matt Garman, current head of AWS sales, will be promoted to CEO. Garman previously led AWS’s EC2 organization.
Jassy praised Selipsky’s leadership and announced that Garman will assume the role starting June 3rd.
Selipsky joined AWS in 2005 as one of the first vice presidents, spending 11 years in sales, marketing, and support before leading Tableau. He returned to Amazon in 2021 to lead AWS.
Matt Garman, who joined AWS in 2006, took on various leadership roles before leading EC2 in 2016 and later the “demand generation” area in 2020.
AWS’s inability to launch its own generative AI model, along with technical issues, may have influenced Selipsky’s departure.
Under Selipsky’s leadership, AWS backed generative AI startups like Cohere and Anthropic, although it could only co-invest in the latter with Google.
Despite facing layoffs and a slowdown in revenue growth in 2023, AWS remains the cloud leader, accounting for 31% of the market.
In the latest fiscal quarter, AWS generated $9.420 billion in operating income, representing 62% of Amazon’s total. Jassy highlighted the success of AWS’s generative AI businesses, which now have a “combined run rate of billions of dollars.”
By: Nestor Castillo, For AllTech News Director
Image Credits: Andy Hay / Flickr / Attribution 2.0 Generic