2. Amazon Web Services, $1.73 Billion (analyst estimates)
CEO: Jeff Bezos
Amazon Web Services continues to cut prices while at the same time accelerating product development, as a means of establishing a moat to protect itself against competing offers. By accelerating its efforts, the company also hopes to avoid time-to-market issues associated with falling into a reactionary mode in response to future developments in the industry overall. Profit margins are slender, but the company makes up for it through volume. Most recently, the company rolled out new technology to support the automatic upload of customer data to its storage service.