It looks like Kylie Jenner is not the only person whose words have the power to send a company's stock sliding. Jeff Bezos just did the same thing, basically.
Bezos writes annual letters to Amazon shareholders, and they're always an interesting read which usually sends the media into a frenzy. This one is different in a way that it's not just the media that went into a frenzy – some companies did, too.
And with good reason, as Bezos' letter seems to have angered quite a few people.
First, he discussed Amazon Web Services with obsessive infatuation. He said how AWS was built thanks to a mix of listening to customers, and coming up with fresh ideas.
“We must invent on their behalf. We have to tap into our own inner imagination about what's possible,” he wrote.
“AWS itself – as a whole – is an example. No one asked for AWS. No one. Turns out the world was in fact ready and hungry for an offering like AWS but didn't know it. We had a hunch, followed our curiosity, took the necessary financial risks, and began building – reworking, experimenting, and iterating countless times as we proceeded.”
Not to digress further, Bezos went on to slam eBay a little bit. He compared the growth in merchandise sales of third-party sellers between Amazon and eBay from 1999 to 2018. As the figures were tilting towards Amazon, it sent eBay’s shares sliding five per cent down on Thursday.
He then poked Walmart and other retailers a little bit, inviting everyone to increase their minimum wage to $15, or even $16 per hour for US employees and “throw the gauntlet back at us”.
Wallmart responded by asking Amazon to pay its taxes, first.
One thing that shouldn’t be lost in the clutter of all this chatter is the fact that Bezos confirmed that Amazon’s growth was actually slowing.
“In 2018, Amazon’s nearly $300 billion in GMV was about a 19 percent jump from the prior year,” Bloomberg notices.
“That was notably slower than the rates of increase of 24 percent and 27 percent, respectively, in 2017 and 2016.”
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