After the U.S. stock market on February 1, e-commerce giant Amazon released its fourth quarter 2023 results report。

According to the report, Amazon's total revenue in the fourth quarter of 2023 increased 14% year-on-year to 1,699.$6.1 billion, higher than analyst expectations of 1,662.$100 million; operating profit of 132.$9 billion, above analysts' expectations of 104.$900 million, compared to just 27.$3.7 billion; GAAP earnings per share, on the other hand, increased from 0.03 dollars jumped to 1 dollar, higher than the average analysts expected 0.8美元。

Looking ahead, Amazon expects operating income in the first quarter to be between $8 billion and $12 billion, while FactSet expects $9 billion.。Amazon, meanwhile, expects first-quarter sales of $138 billion to $143.5 billion, compared with analysts' forecasts of $142 billion.。Despite the wide range of expectations, it also reflects Amazon's cautious optimism about future business development。

Core e-commerce business steady growth AWS business now rebounds

e-commerce business

Amazon, the world's largest online retailer, maintained solid growth in its e-commerce business in the fourth quarter.。Thanks to the growing trend of global online shopping, Amazon's e-commerce sales have once again achieved significant growth。Among them, net sales in North America reached 1055 in the fourth quarter..$100 million, higher than analyst expectations of 1028.$800 million; international net sales of 402.$400 million, compared to 344.600 million dollars。

Especially during the holiday shopping season, the company's sales reached an all-time high, demonstrating its continued appeal and competitive advantage in the minds of consumers.。

In the face of strong e-commerce sales, Amazon CEO Andy Jassy said, "This quarter was a record holiday shopping season, ending Amazon's strong performance in 2023.。As we enter 2024 and our teams are delivering results at a rapid pace, we have a lot of excitement ahead of us.。"

Cloud Computing Services (AWS)

Amazon's cloud business finally rebounded in the quarter after several quarters of poor performance。Data show that Amazon's AWS business revenue in the fourth quarter increased by 13% year-on-year to 242.$04 billion, an improvement from the 12% growth rate in the third quarter。

Although the growth rate has not increased significantly, the cloud business is still a huge profit driver for Amazon。Of Amazon's total operating income of $13.2 billion, AWS provided $7.2 billion in operating income.。

However, in the face of the weak growth of Amazon's AWS business, some analysts are beginning to have doubts about whether Amazon's cloud business can hold its ground in a rival offensive.。

In response, Amazon Chief Financial Officer Brian Olsavsky said that AWS sales are expected to continue to accelerate.。AWS growth has slowed over the past year as businesses cut back on spending in the cloud, but the company is seeing these cost optimizations fade and new workloads are increasing, he said.。He said customers have "a lot of interest" in AWS's generative AI products, such as the AI chatbot "Q" for businesses.。

"Break arm to survive" shows results

Amazon has been trying to cut spending since last year under Jassy's leadership.。To improve margins, Amazon has cut more than 3.50,000 jobs。It is reported that Amazon's layoff plan has not stopped at present。

Amazon announced earlier this month that it was laying off a total of hundreds of employees in its Prime video streaming and studio business unit and Twitch's live game service unit.。In November, the company slashed jobs in its music and gaming divisions, as well as in the business unit responsible for its voice-activated assistant Alexa.。Amazon said it had about 1.53 million full-time and part-time employees as of 2023, down 1 percent from a year earlier.。

Brian said on Thursday the company would continue to be cautious about new investments, but did not see 2024 as an "efficiency year."。Brian said: "We will continue to invest in new things and new areas and things that resonate with our customers.。Where we can find efficiencies and do more, we will do the same。"

Overall, Amazon is doing surprisingly well despite a number of concerns in the tech sector, analysts said.。The results show that ongoing cost-cutting measures have had a positive impact on Amazon's business prospects.。

Overall, Amazon's earnings report showcases the results of its efforts to cut costs, improve delivery efficiency and expand the advertising market.。As the company continues to innovate and grow in various business areas, we can reasonably expect Amazon to continue its strong growth momentum in the future.。

Amazon launches artificial intelligence shopping assistant Rufus

Amazon is introducing an artificial intelligence shopping assistant, Rufus, in its retail stores, designed to help customers compare different items more easily and answer more complex query questions.。It is understood that this shopping assistant is currently in the testing phase and is only open to "some users who use the Amazon mobile app."。

Amazon said Rufus was able to answer questions such as "What is the difference between trail running shoes and road running shoes?"？"or" What's a good gift for Valentine's Day?？"and other issues。Users can also ask questions about specific products on Amazon, such as "Is this jacket machine washable?"？"Rufus will use information from product details, customer reviews and community Q & A to give answers.。

For years, shoppers often had to manually enter keywords or product names in Amazon's search bar to find specific items or find related items based on their characteristics。However, with the launch of OpenAI's ChatGPT and other generative AI-based tools, which are able to launch products in tandem based on conversation text and provide recommendations and comparisons at any time, this makes Amazon's traditional search function look outdated.。

By contrast, Walmart last month expanded the rollout of an artificial intelligence tool that allows shoppers to search for products by context, without naming them specifically.。iOS users can use this feature on Walmart's app。

The acquisition of iRobot is a "miscarriage."

After 2024, Amazon still faces many difficulties。On January 29, local time, Amazon and iRobot issued a joint statement saying that they agreed to terminate the pending acquisition.。

The two sides said in a statement that Amazon's proposed acquisition of iRobot could not be approved by EU regulators, which hinders Amazon and iRobot from moving forward together, which is a loss for consumers, competition and innovation.。

In August 2022, Amazon announced it would buy iRobot for $1.7 billion.。The UK Competition and Markets Authority gave the deal a "green light" but was blocked when Amazon submitted the deal to EU regulators.。The EU blocked the deal, mainly because of concerns that Amazon's industry leadership hurt market competition.。

EU regulators became involved in the deal in July last year and launched an in-depth investigation.。At the end of November, EU regulators issued a statement of opposition to the deal, saying Amazon's acquisition of iRobot would harm the robot vacuum cleaner (RVC) market and allow Amazon to strengthen its position in online marketplaces and other data-related services.。

EU regulators said in a statement that Amazon may promote iRobot's products under labels such as "Amazon's Choice" or "Work with Alexa" and reduce the heat on other robot vacuum cleaner brands.。Amazon is an important online sales channel for robot vacuum cleaners in countries such as France, Germany, Italy and Spain.。

David Zapolsky, Amazon's senior vice president and general counsel, expressed "disappointment" at the forced termination of the acquisition.。Zapolsky said: "We are very grateful to all those who have worked tirelessly to achieve this collaboration.。This result will deprive consumers of faster innovation and more competitive prices, which we believe will make their lives easier and more enjoyable.。"

Even if Amazon's acquisition of iRobot goes through with European regulators, it could be blocked by U.S. regulators next。

There are reports that the US Federal Trade Commission (FTC) is preparing to reject Amazon's deal before Amazon announces that it is abandoning the acquisition。Sources said FTC staff met with Amazon associates last week to inform them that the FTC plans to recommend that the committee vote to sue to block the takeover.。

The source also revealed that the committee was originally scheduled to hold its last meeting with Amazon on Monday (January 29) local time.。After the meeting, the committee will vote to approve a legal challenge to the deal。

Similar to the EU's starting point, the FTC's focus on the deal was driven by concerns about market competition and privacy data.。The FTC previously said the commission had been looking at the deal since September 2022.。The committee argued that the deal would give Amazon too much control over the smart home device market and the privacy data of U.S. households.。

Notably, Amazon is also currently facing lengthy court proceedings with the FTC in Seattle federal court.。The focus of litigation is largely around antitrust.。The FTC accused Amazon of using illegal tactics to boost profits at its online retail business and consolidate its industry lead.。