Amazon S3 Soars with 192% Growth in 2011

Amazon’s (NASDAQ:AMZN) fourth-quarter report, set for release today, is likely to show more proof of the phenomenal growth of the company’s web services business — AWS.

Analysts expect the report to show earnings per share down 79.1 percent to $.19 due to massive spending, but revenues are expected to be up 41 percent to $18.2 billion. According to Amazon, the company’s S3 cloud storage service jumped 192 percent year-over-year at the end of last year, holding 762 billion objects. That’s up from only 2.9 billion objects held when it launched in 2006!

Thanks to AWS’ scalability and low cost, many large firms such as Netflix¬†(NASDAQ:NFLX) and Zynga (NASDAQ:ZNGA)¬†choose to use them for on-demand computing and storage services rather than building their own infrastructure.

With technology change pervasive, cloud in general is growing, but Amazon clearly dominates the field. “What we are seeing is the geometric explosion of cloud growth from multiple points,” Constellation Research analyst Ray Wang said told ReadWriteWeb, adding that “there are only a few companies in the world who can compete with Amazon.”