Amazon to open Tel Aviv office to support cloud services


TEL AVIV, Oct 15 (Reuters) - will openan office in Tel Aviv to support its cloud computing offeringcalled Amazon Web Services (AWS), the company's chief technologyofficer said on Tuesday.

The office is expected to begin operating at the start of2014 and support companies from start-ups to large organisationsas they move to cloud computing services offered by Amazon.

Companies in Israel, which has a large concentration oftechnology start-ups, were among the first to turn to cloudcomputing when AWS was established in 2006, the CTO said.

"If you start a business today you no longer buy IT(information technology). You spend your money on getting betterengineers and product builders," Werner Vogels told a newsconference.

AWS, which is the market leader in cloud computing,according to the latest Gartner research, rents remote computingand storage to other companies, providing over 30 differentservices.

Vogels said Amazon is focused on driving costs down and haslowered the price for its services 37 times since 2006.

"We've always know that this is not a winner take allmarket. There is room for many providers with differentiatingproducts," he said.

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