Comment by SilverElfin | Hacker News Reader

Comment by SilverElfin | Hacker News Reader

> In this whole pivot to GenAI, AWS has lost its focus on the customer. Instead of working backwards from a genuine customer need, the goal seems to be to create as many things as fast as possible, throw them into the world and see which ones gain traction, whether or not they serve a real need.

AWS has been this way for a lot longer than GenAI, since the basic infrastructure products were built out early on. But when I read this line about throwing things out there quickly, I also think of Google and even Anthropic. Google has a long list of products that got created and killed, as part of their internal politics and promotion culture. Anthropic is currently rushing vibe coded slop all the time to try and win over OpenAI and set up their IPO.

Maybe all the rich high funding companies can afford to this and maybe it is the right thing for them to do. They can afford to make big mistakes without hurting their stability. A true startup or smaller company can’t - they would shutdown because one big investment that fails is enough to destroy the whole company.

to be fair, even though they have "working backwards" and "customer obsession", amazon has always been about making lots of different experimental bets. Bezos:

> To invent you have to experiment, and if you know in advance that it’s going to work, it’s not an experiment. Most large organizations embrace the idea of invention, but are not willing to suffer the string of failed experiments necessary to get there. Outsized returns often come from betting against conventional wisdom, and conventional wisdom is usually right. Given a ten percent chance of a 100 times payoff, you should take that bet every time. But you’re still going to be wrong nine times out of ten. We all know that if you swing for the fences, you’re going to strike out a lot, but you’re also going to hit some home runs. The difference between baseball and business, however, is that baseball has a truncated outcome distribution. When you swing, no matter how well you connect with the ball, the most runs you can get is four. In business, every once in a while, when you step up to the plate, you can score 1,000 runs. This long-tailed distribution of returns is why it’s important to be bold. Big winners pay for so many experiments.”

> Maybe all the rich high funding companies can afford to this and maybe it is the right thing for them to do. They can afford to make big mistakes without hurting their stability. A true startup or smaller company can’t - they would shutdown because one big investment that fails is enough to destroy the whole company.

Both are following the same strategy. Amazon has a $2.86 trillion market cap. That's the equivalent of 143,000 $20 million Series A startups. Companies like Amazon and Google are basically an integrated herd of cash cows plus a VC portfolio.

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