Amazon’s bureaucracy battle: Jassy’s year-long fix stalls; AWS still tangled in red tape

Amazon Web Services (AWS) faces significant organizational bloat, hindering its ability to compete in the AI race, according to a Bloomberg report. Despite CEO Andy Jassy’s anti-bureaucracy efforts, including over 1,500 employee complaints and 450 process changes, management layers and decision paralysis persist. This dysfunction is impacting AWS’s market share, which has declined from nearly half in 2018 to 38% last year. Competitors like Microsoft are now outpacing Amazon in corporate sales growth, a reversal of previous trends.

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