Amazon tried selling office software and failed. Now it is betting that office software itself is obsolete.
AWS launched AI-powered business applications, Connect Decisions for supply chain, Connect Talent for recruitment, joining Connect Health from March, entering the $300B SaaS market against Microsoft, Oracle, and Salesforce. AWS CMO Julia White says having no SaaS legacy is an advantage. But Amazon’s previous application products (WorkMail, Chime, WorkDocs) all failed and were shut down. The bet is that AI agents replace applications rather than augment them, and that Amazon’s operational expertise in logistics and hiring gives it a moat incumbents lack.