“Volkswagen’s industrial cloud, which will reinvent its manufacturing and logistics processes, is yet another example of how Volkswagen continues to innovate and lead,” said Andy Jassy, CEO of AWS. With our global industry platform we want to create a growing industrial ecosystem with transparency and efficiency bringing benefits to all concerned.” “The Volkswagen Group, with its global expertise in automobile production, and Amazon Web Services, with its technological know-how, complement each other extraordinarily well. Our strategic collaboration with Amazon Web Services will lay the foundation,” said Oliver Blume, Chairman of the Executive Board of Porsche AG and Member of the Board of Management of Volkswagen Aktiengesellschaft responsible for ‘Production’. “We will continue to strengthen production as a key competitive factor for the Volkswagen Group. By leveraging Amazon Web Services technology and services, Volkswagen is creating its Industrial Cloud as an open industry platform which other partners from industry, logistics and sales may use in the future. In the long term, the global supply chain of the Volkswagen Group with more than 30,000 locations of over 1,500 suppliers and partner companies could also be integrated.
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The Volkswagen Industrial Cloud thus creates the essential prerequisites for achieving the productivity goals in production. This will create new prospects for the optimization of processes in production and allows considerable productivity improvements at the plants. In future, the Volkswagen Industrial Cloud will combine the data of all machines, plants and systems from all 122 facilities of the Volkswagen Group. Both companies Services announced a multi-year, global agreement to jointly develop this project.
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For Apple, which is trying to transform itself into a service provider and entertainment behemoth that doesn’t have to rely so heavily on selling expensive phones every year, it’s an expenditure that will likely only continue to soar.Volkswagen and Amazon Web Services (AWS) are to develop the Volkswagen Industrial Cloud together. Regardless, the size of Apple’s AWS commitment is notable if only for shedding light on just how much money it costs, at a minimum, to run a service like iCloud operating on nearly 1.5 billion devices. Neither Amazon nor Apple were immediately available for comment. Apple runs a number of data centers of its own throughout the US and it is likely a chunk, or even a majority, of its online services run on those data centers, although the company has never explicitly disclosed this information. It’s not clear in this case that Apple will require much more compute from AWS and thus a larger, more expensive contract. Other big tech firms like Netflix and Spotify have notably been using AWS for years, making their streaming empires reliant on Amazon’s cloud. A number of other companies not large enough to operate their own data centers or cloud services of their own - like Google, Facebook, and Microsoft do - have also publicly disclosed substantial AWS contracts, including a more than $1 billion commitment from Snap Inc. Lyft said it has committed to paying Amazon $300 million through 2021 due to an ongoing contract, while Pinterest says it will have paid Amazon around $750 million by the end of a six-year contract expiring in 2023.
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A number of large tech companies that have filed to go public this year have revealed in financial documents that they pay Amazon hundreds of millions per year. Apple is one of Amazon’s biggest competitors and one of AWS’s biggest customersĪpple is far from the only company to run parts of its cloud on Amazon servers.