Amazon's latest earnings provided the services inflection we have been watching. Amazon's ad network, mix of cloud services, Prime memberships and marketplace/3rd party seller services now account for nearly 40% of revenue. Add on the Whole Foods brick and mortar sales of ~8% and you have an etailer that only drives 53% of their revenue from the online store.
Amazon continues to become the go to platform for selling, distributing and streaming everything from product to content. There is no slowing and profitability only improves as they become more of a service provider. Updated charts below.