The cloud reminds me of the storage wars from 15 years ago--anybody remember STAC? The cloud services will never be very profitable--if it ever is, new entries will come in to compete. What is called "zero economic profits".
And by the way, retailing in general, and online retailing in particular, is a costly tooth and nail low margin commodity business too, except for specialized niche players that can raise prices because of a certain cachet. I can't see how Amazon becomes a high margin business. What am I missing? Maybe skiidady can splain it to me.