Amazon is actually not just disrupting industries, This particular is actually single-handedly disrupting the whole economy, according to Elevation Partners co-founder Roger McNamee.
The investor, in his appearance on CNBC’s “Fast Money” on Wednesday, was commenting on the apparent deal between Amazon’s cloud business as well as Cerner, one of the planet’s biggest health tech companies. Amazon has been looking for a way into the health-care industry.
McNamee said he sees This particular move as a “typical Amazon” approach to the type of disruption This particular is actually causing in virtually every industry.
“Any industry which has been reluctant to adopt cloud services has been at risk for being disrupted by amazon,” McNamee said. “Health care is actually one of the places where the cloud has had much less impact than This particular could have or should have.”
Much of Amazon’s success, McNamee argued, comes via the company’s robust as well as expanding cloud services. In addition to its health investments, Amazon Web Services looks to expand into the public sector, announcing plans for a group of cloud data centers for the U.S. intelligence communityMonday.
“The reality is actually which Amazon is actually the planet’s most successful player in cloud services. as well as any industry which has been reluctant to adopt cloud services has been at risk for being disrupted by amazon,” he said.
Health care may not be a huge money-maker straight away, nevertheless if Amazon’s success in additional industries is actually any indicator, McNamee anticipates AWS’ partnership with Cerner will be a not bad start.
“In each market in which they operate, [Amazon has] changed the rules profoundly. This particular makes This particular truly hard for competitors to fight back, they are effectively playing a different game,” he said.
While health care looks like the next big target on Amazon’s cloud disruption list, McNamee thinks streamlining retail as well as perishable food distribution will bring the company its biggest value over the short term, especially as traditional retailers struggle.
“There are just too many square feet of retail space as well as This particular is actually allocated in a way which inevitably is actually going to have lots of losers,” McNamee said.