When it comes to online shopping, Amazon leads while the rest follow. Besides that, it offers excellent cloud computing services. As for the sales, Amazon comes second after Alibaba Group. Nevertheless, it is the best as far as market capitalization and revenue are concerned globally.
With such a reputation, how much wealth has the company made over the last years? Are there low and high moments for Amazon? You can learn more regarding the electronic commerce company and the answers. Keep reading for relevant information and the net worth of Amazon in 2020.
Amazon is an idea that saw the light of the day in 1994 on 5th July. The great mind behind the concept is a renowned businessman who goes by the name of Jeff Bezos. Amazon is one of the reasons why he is a billionaire. Back then, the risk Jeff took seemed too high. Some wondered why he left such a top position. At that time, Jeff was the D.E. Shaw & Co’s vice president. He migrated to Seattle in Washington.
After a while, Bezos launched the company as Cadabra, Inc. After a few months, he changed the name to Amazon. Why the name? The reason is that the largest river in the world is none other than the Amazon River. With the ambitions of becoming the largest in the field of books, he gave his business the same name.
They included books, videos, computer hardware, computer software as well as compact disks. Then, he decided to make it about books only. All that happened in his garage in a rented home found in Bellevue of Washington.
In July 1995, the online bookstore was launched. The first sale was that of Fluid Concepts and Creative Analogies by Douglas Hofstadter. In two months, it was famous in all the 50 states. It became public in October 1995.
2010 was Amazon’s breakthrough since they made a relatively handsome amount of profit. By the following year, it had 30,000 employees. Five years later, the number had grown to 180,000 workers. Currently, they have over 300,000 workers.
In addition to that, Amazon has had many acquisitions. For instance, there is the supermarket chain by the name Whole Foods. Although it cost Amazon about $13.4 billion, it was a significant investment.
It started as a bookstore, but it sells almost everything now. It also has more than 40 subsidiaries. Some include IMDb, Teachstreet, Goodreads, Audible, Diapers.com, Shopbop and Zappos among others.
In 2013 on 14th January, when Bezos received the award for Retailer of the Year. National Retail Federation awarded it, and he got it thanks to the success of Amazon.
Net Worth & Earnings
As of 2020, The net worth of Amazon is over $1 trillion. CEO Jeff Bezos net worth is nearly $165 billion. It is a retail site, and that is how it makes money. On the one hand, it earns money by deducting a small percentage of each sale of an item sold via Amazon. In addition to that, it makes money through the advertisements of products by other companies on the site. Its total assets are over $131 billion. The revenue can be about $200 billion annually. The operating income is about $4 billion while the net income is approximately $3 billion in a year. On the other hand, the total assets as of last year were worth $27 billion.
Looking at what Amazon has become over the years, it is hard to believe that such it had a humble beginning. From an idea that hatched in a garage to a multi-billionaire company, that is a great achievement. That should inspire you to start what interests you as soon as possible. Where there is will, there is a way no doubt.