Amazon Launches Website Services Subsidiary

Not content with dominating online sales in several product categories, is creating a Website services subsidiary, Amazon Services. Target Corp. and Toys R Us are already using Amazon’s technology to run its online stores.

Seattle-based Amazon said it expected business for the new subsidiary to “keep getting bigger” as it draws more retailers who want to sell their goods online. “These retailers can grow their online businesses faster and less expensively,” Amazon chief Jeff Bezos said in a statement, “by taking advantage of what we’ve learned and built over the past eight years, while still preserving 100% of their own branded look and feel.” Amazon spends more than $200 million annually on its Website technology.

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