Active in Cloud, Amazon Reshapes Computing
SEATTLE Within a few years, Amazon.coms creative destruction of both traditional book publishing and retailing may be footnotes to the companys larger and more secretive goal: giving anyone on the planet access to an almost unimaginable amount of computing power.
Every day, a start-up called the Climate Corporation performs over 10,000 simulations of the next two years weather for more than one million locations in the United States. It then combines that with data on root structure and soil porosity to write crop insurance for thousands of farmers.
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Each of these start-ups carries out computing tasks that a decade ago would have been impossible without a major investment in computers. Both of these companies, however, own little besides a few desktop computers. They and thousands of other companies now rent data storage and computer server time from Amazon, through its Amazon Web Services division, for what they say is a fraction of the cost of owning and running their own computers.
I have 10 engineers, but without A.W.S. I guarantee Id need 60, said Daniel Gross, Cues 20-year-old co-founder. It just gets cheaper, and cheaper, and cheaper. He figures Cue spends something under $100,000 a month with Amazon but would spend probably $2 million to do it ourselves, without the speed and flexibility.
http://www.nytimes.com/2012/08/28/technology/active-in-cloud-amazon-reshapes-computing.html?_r=2&source=email_rt_mc_body&ifp=0