Amazon Web Services (AWS) is a powerful cloud platform with over 200 services and digital solutions, like computing power, storage, and networking. These are hosted in Amazon’s data centers worldwide, which gives it high availability and redundancy.
Understanding AWS' meaning and unlocking its potential can provide numerous benefits, such as streamlined operations, improved security, and lower costs. You can even work with an expert AWS consultant to make the most of this powerful tool.
Learn the basics of AWS and how it can propel your company forward.
Table of Contents
What Does AWS Mean?
AWS means Amazon Web Services. It is the powerhouse behind some of the biggest innovations today. Think of how Netflix streams your favorite shows — they use AWS for that. In fact, it brought in $90 billion in revenue in 2023, which emphasizes its pivotal role in modern business.
You can access AWS through the AWS Management Console, APIs, or Command Line Interface (CLI). The interface lets you easily acquire resources, manage data, and change security settings.
What Is AWS Used For?
AWS is used for various activities depending on the needs of the organization. Its pay-as-you-go model makes it an ideal fit for businesses of any size.
Startup companies turn to AWS for affordable infrastructure. Rather than invest heavily in physical servers, these small businesses can use the platform to scale certain resources based on demand.
Meanwhile, larger organizations use AWS for its scalability. For example, AWS can handle the increased load for big online stores whenever they experience a surge in traffic.
Developers can quickly launch applications without dealing with hardware. This is possible through AWS’s various tools and services that streamline software development. For instance, AWS Lambda lets users run code without provisioning or managing servers.
How Does AWS Work?
AWS works by providing cloud services that businesses and IT services companies can access on demand and customize to fit specific needs like running apps or processing large datasets. For instance, when an organization needs more computing power, it can quickly launch virtual servers using Amazon EC2 (Elastic Compute Cloud).
Another example is Amazon S3 (Simple Storage Service), which provides scalable storage for any type of data and allows users to control access permissions. Companies use S3 to store data in buckets and retrieve large amounts of data, such as backup files, log files, or media content.
AWS also offers Amazon RDS (Relational Database Service) for database management. It automates tasks, such as backups, scaling, and patching, and allows developers to focus on building their applications rather than managing the database infrastructure.
The services mentioned above are designed to be flexible and scalable, which allows organizations to pay only for what they use. This model gives significant flexibility while enabling companies to innovate and adapt quickly to changing demands.
Amazon Web Services by Industry
Amazon Web Services powers organizations in various industries with its cloud computing services. Its tailored applications allow it to meet a wide range of needs that ensure efficiency and scalability.
Below are five examples of sectors that are currently leveraging AWS.
1. Healthcare
Healthcare organizations turn to AWS to improve patient care and streamline their operations. Many institutions find it easier to manage patient records with secure, cloud-based storage capabilities.
They also leverage advanced data analytics provided by AWS to enhance medical research and outcomes. For instance, the platform lets hospitals quickly analyze patient data to deliver faster and more accurate diagnoses.
2. Finance
The financial industry relies heavily on AWS for its secure and scalable solutions. With it, they can readily meet regulatory requirements through its robust security features, such as encryption and continuous monitoring.
These agencies also leverage AWS for real-time transaction processing and effective risk management.
3. Retail
Retailers use AWS to create better experiences for their customers. Many eCommerce platforms thrive on the scalability AWS provides, allowing them to handle even high traffic during peak shopping seasons.
With AWS, retailers can track customer behavior and provide them with tailored recommendations.
4. Education
Educational facilities use AWS to enhance both their learning and administrative processes, such as efficiently managing large volumes of educational information to ensure security and accessibility for users.
Moreover, teachers are now leveraging cloud-based solutions for virtual classrooms and other online learning platforms.
5. Manufacturing
Manufacturers rely on AWS for innovative solutions that boost productivity. Many use IoT apps on AWS for real-time monitoring of equipment to reduce downtime.
Some factories also use AWS to predict equipment failures before they happen. Such capability helps prevent costly disruptions while keeping production lines running smoothly.
AWS Advantages
Now that we’ve discussed the basics of AWS and some of its real-world applications, let’s explore the benefits it provides. The following are the main advantages of using Amazon Web Services:
Robust Security
Fortified security is at the core of the entire AWS infrastructure. Amazon Web Services has stringent cloud security standards and requirements, monitored around the clock to ensure the integrity and confidentiality of user data, guaranteeing cybersecurity.
All data flowing through Amazon Web Services networks is interconnected via data centers and regional zones. They are encrypted on multiple layers automatically before dispatch from AWS’s secure facilities.
With AWS, your company can build the most secure infrastructure. It offers:
- Complete control over your data
- Encryption of your data
- Flexibility to move your data across platforms
- Exclusive rights to manage retention at any time
High Network Availability
Every AWS regional infrastructure has multiple isolated partitions that let you achieve high availability and faster resolution to issues. Additionally, the AWS management console and control planes are distributed all over the regions, including regional API endpoints designed to operate securely on a 24/7 basis.
Excellent Performance
Built for high-level performance, AWS regions achieve the abovementioned through a 100 GbE fiber backbone network, delivering many terabits of AWS regional capacity. The AWS infrastructure needs only single-digit millisecond latency for its services to reach end-user devices.
You can expect the following with AWS:
- Low latency
- Low packet loss
- High overall network quality
Whichever app your enterprise needs, you can turn to AWS resources to deploy the resources for your project.
High Scalability
With the infinite scalability of the AWS cloud, your enterprise has adequate capabilities to handle business operations, even during peak activity.
You can provision resources according to your organization's needs and scale up or down instantly. This cuts costs significantly and helps you meet your client's needs.
Extreme Flexibility
AWS experts allow you to choose how and where to run your workload while using the same control plane, APIs, networks, and Amazon Web Services. For instance, if you want to run your apps globally, you can pick from any AWS zone and region.
Similarly, when running apps with one-digit millisecond latency to devices and end-users, you can simply choose among the AWZ wavelengths and local zones. Or, if you would like to run apps on-site, you can opt for AWS outposts.
Global Footprint
AWS has one of the largest global cloud computing infrastructure footprints, and it's consistently and rapidly increasing.
When you launch workloads and applications to the cloud, you can choose the most suitable technological infrastructure. This ensures your intended services are delivered to your target users.
You can also run workloads with high throughput and low latency demands on the AWS cloud using wide-ranging support and a broad set of applications.
Additionally, the AWS Global Station has satellite antennas — all of which are close to AWS infrastructure regions.
How Much Does AWS Cost?
The cost to use AWS depends on several factors like the services you choose and how long you plan to use them. Its flexible pay-as-you-go pricing model means you only pay for what you use.
For example, Amazon EC On-Demand can start at $0.05 per hour and up to $04.5 hourly. Customers can take advantage of Savings Plans and Reserved Instances, which can lower costs by up to 72% for longer commitments.
On the other hand, the Amazon S3 product starts at $0.023 per GB for standard storage. Users can go with tiered pricing, where they’ll pay less per GB the more they use it.
No matter the needs, AWS offers flexible pricing options to suit various business requirements. This allows organizations to manage costs effectively while taking advantage of powerful cloud solutions.
You can visit the AWS Pricing Calculator page to get an estimate based on the service and usage you need.
Top Companies That Use AWS
The AWS cloud computing platform is a clever choice for enterprises in any industry. Here are the global brands that spend big on AWS:
- Netflix
- Twitch
- BBC
- ESPN
- Adobe
- Johnson & Johnson
- Airbnb
- AOL
- Hitachi
- Unilever
- GE Oil and Gas
- Kellogg’s
- Shell
- Apple
AWS: Final Thoughts
AWS’ definition goes well beyond cloud services; it signifies innovation and growth in the tech world. With billions in revenue, its impact on modern businesses is hard to deny.
Whether you’re a tech lead, developer, or architect, mastering and leveraging AWS can help you streamline operations, improve security, and increase cost savings.
AWS FAQs
How can I get started with AWS?
To get started, you must first create your AWS account. Then, you can set up the AWS CLI and AWS Cloud9 environment. You can also join the AWS community and learn how to optimize AWS pricing. Finally, you can choose the proper AWS for your needs and launch your first application.
What is the difference between AWS and Google Cloud?
The difference between AWS and Google Cloud is in their unique strengths and focus areas. AWS offers a huge array of services and has been the market leader for quite some time. Many businesses favor it because of its range of solutions.
On the other hand, Google Cloud shines in data analytics and machine learning. It’s ideal for users who wish to get into AI projects and make the most of its smart services.
