Earnings Outlook: Amazon earnings: Will AWS decelerate again?

Amazon.com Inc. is expected to report stronger first-quarter earnings and sales after the market closes on Thursday, but all eyes will be on the recent deceleration of Amazon Web Services after a disappointing revenue performance last quarter.

AWS, Amazon’s AMZN, +0.00% fastest-growing and most profitable business segment, fell short of expectations in the fourth quarter. AWS is the market leader in the public cloud by a long shot. But Amazon has recently had to implement price cuts to stay competitive against similar services offered by Microsoft Corp. MSFT, +0.64% Alphabet Inc. GOOGL, +0.64%GOOG, +0.65% and IBM Corp.

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