Latest news with #MattGarman
Yahoo
3 days ago
- Business
- Yahoo
Amazon Offers $1B in Cloud Savings to U.S. Government
Amazon Web Services (AMZN, Financials) has committed to give U.S. government agencies up to $1 billion in savings through 2028 to help them modernize old systems and use AI and cloud General Services Administration announced the partnership on Thursday. It gives credits for AWS services including training, upgrading infrastructure, and moving to the cloud. It aims to save money and speed up the digital transformation of federal already works with over 11,000 governments around the world. Matt Garman, the CEO, said that the pact was a big step toward making the government more flexible and timing is right since there is more and more pressure on Washington to fix old infrastructure. The federal government spends more than $100 billion a year on IT, and a lot of it goes to antiquated, slow not only about getting contracts for Amazon; it's also about staying at the core of how America constructs its digital future. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Insider
4 days ago
- Business
- Business Insider
Wall Street Praises Amazon (AMZN) for Adding OpenAI Models to AWS
Wall Street praised Amazon (AMZN) after the tech company announced that OpenAI's open-weight models are now available through its AWS cloud platform. These models can be used by businesses through Amazon's Bedrock and SageMaker tools, which help companies build AI applications using their own data. While this isn't a huge shift in the AI cloud race that is currently led by tech rival Microsoft (MSFT), analysts still see it as a positive first move for Amazon, especially since its recent cloud earnings left investors wondering if AWS was falling behind. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. According to BofA Securities, this new arrangement doesn't mean AWS will benefit from OpenAI's infrastructure spending the way Microsoft does, but it does give AWS a chance to make money by offering services built around these models. AWS head Matt Garman described the partnership as a 'powerhouse combination' that combines OpenAI's technology with AWS' scale and security. Although OpenAI remains closely tied to Microsoft, it recently began allowing other cloud providers like Oracle (ORCL) and CoreWeave (CRWV) to host its models, which created space for new partnerships like this one with Amazon. It is worth noting that right now, Amazon is only offering access to OpenAI's freely available open-weight models, not the more powerful 'closed' models like GPT-5. Still, analysts, like those at New Street Research, believe this could be the start of something bigger. Amazon already supports open models from Meta (META) and Alphabet (GOOGL), and this adds to its AI offerings. Although Amazon's cloud growth has been slower than Microsoft's and Google's, and its stock dropped 8% after Q2 earnings, some analysts are optimistic that the OpenAI partnership could give AWS a much-needed boost. What Is the Price Target for AMZN Stock? Turning to Wall Street, analysts have a Strong Buy consensus rating on Amazon stock based on 43 Buys and one Hold assigned in the past three months. Furthermore, the average AMZN stock price target of $264.21 per share implies 18.6% upside potential from current levels.
Reuters
4 days ago
- Business
- Reuters
Amazon Web Services to provide US government agencies with up to $1 billion in savings
Aug 7 (Reuters) - Amazon Web Services has agreed to provide U.S. government agencies with up to $1 billion in savings for cloud adoption, modernization and training through the end of 2028, the U.S. General Services Administration said on Thursday. The agency said the agreement with the unit of (AMZN.O), opens new tab "will accelerate large-scale IT transformation across government and spur AI innovation." A government report in March said the federal government annually spends more than $100 billion to manage IT systems, acquire new systems, or update old ones. Amazon has won billions of dollars in contracts to help federal agencies transition to the cloud and for other services. The U.S. government has struggled for years to modernize its aging IT systems. The agreement offers up to a total of $1 billion in direct incentive credits in total across Federal civilian agencies including savings on core AWS cloud services, modernization and training credits. 'This landmark agreement marks a significant milestone in the large-scale digital transformation of government services,' said AWS CEO Matt Garman. Federal agencies will have access to AWS training resources and experts to help them move to the cloud. AWS supports more than 11,000 government agencies worldwide. The deal between GSA and AWS aims "to reduce the cost of federal IT expenditures, save taxpayer dollars, drive innovation and agility in new government services, and secure America's continued leadership in AI," the government said. In 2022, the Pentagon awarded $9 billion worth of cloud computing contracts to AWS, Microsoft Corp (MSFT.O), opens new tab, Alphabet Inc's Google (GOOGL.O), opens new tab and Oracle Corp (ORCL.N), opens new tab. The Joint Warfighting Cloud Capability was the multi-cloud successor to the Joint Enterprise Defense Infrastructure (JEDI), an IT modernization project to build a large, common commercial cloud for the Defense Department. Amazon during Trump's first term sued after the $10 billion JEDI contract was awarded to Microsoft. Amazon said Trump exerted improper pressure on military officials to steer the contract away from the company.
CNA
4 days ago
- Business
- CNA
Amazon Web Services to provide US government agencies with up to $1 billion in savings
Amazon Web Services has agreed to provide U.S. government agencies with up to $1 billion in savings for cloud adoption, modernization and training through the end of 2028, the U.S. General Services Administration said on Thursday. The agency said the agreement with the unit of "will accelerate large-scale IT transformation across government and spur AI innovation." A government report in March said the federal government annually spends more than $100 billion to manage IT systems, acquire new systems, or update old ones. Amazon has won billions of dollars in contracts to help federal agencies transition to the cloud and for other services. The U.S. government has struggled for years to modernize its aging IT systems. The agreement offers up to a total of $1 billion in direct incentive credits in total across Federal civilian agencies including savings on core AWS cloud services, modernization and training credits. 'This landmark agreement marks a significant milestone in the large-scale digital transformation of government services,' said AWS CEO Matt Garman. Federal agencies will have access to AWS training resources and experts to help them move to the cloud. AWS supports more than 11,000 government agencies worldwide. The deal between GSA and AWS aims "to reduce the cost of federal IT expenditures, save taxpayer dollars, drive innovation and agility in new government services, and secure America's continued leadership in AI," the government said. In 2022, the Pentagon awarded $9 billion worth of cloud computing contracts to AWS, Microsoft Corp, Alphabet Inc's Google and Oracle Corp. The Joint Warfighting Cloud Capability was the multi-cloud successor to the Joint Enterprise Defense Infrastructure (JEDI), an IT modernization project to build a large, common commercial cloud for the Defense Department.
CNBC
4 days ago
- Business
- CNBC
Amazon's cloud business giving federal agencies up to $1 billion in discounts
Amazon Web Services has agreed to provide U.S. federal agencies with up to $1 billion in discounts for cloud adoption, modernization and training through 2028, an agency overseeing government procurement announced Thursday. The agreement is expected to speed up migration to the cloud, as well as adoption of artificial intelligence tools, the General Services Administration said. "AWS's partnership with GSA demonstrates a shared public-private commitment to enhancing America's AI leadership," the agency said in a release. Amazon's cloud boss Matt Garman hailed the agreement as a "significant milestone in the large-scale digital transformation of government services." The discounts aggregated across federal agencies include credits to use AWS' cloud infrastructure, modernization programs and training services, as well as incentives for "direct partnership." The GSA announced a similar deal last month with cloud rival Oracle. The agency also reached an agreement with OpenAI on Wednesday that will give federal agencies access to ChatGPT for $1 through the next year.
