Walmart and Microsoft team up to slow Amazon’s roll
Today, Walmart and Microsoft announced a strategic partnership intended to speed the retailer’s ongoing digital transformation.
The five-year deal cements Microsoft as Walmart’s preferred cloud solutions provider. As such, it provides other retailers with high-profile proof that there exists an alternative to using Amazon Web Services for cloud services.
“Walmart is a people led, tech empowered company, and we’re excited about what this technology partnership will bring for our customers and associates,” said Doug McMillon, Walmart CEO, in statement. “Whether it’s combined with our agile cloud platform or leveraging machine learning and artificial intelligence to work smarter, we believe Microsoft will be a strong partner in driving our ability to innovate even further and faster.”
Satya Nadella, CEO of Microsoft, told The Wall Street Journal that competing with Amazon “is absolutely core” to the partnership between his company and Walmart.
“How do we get more leverage as two organizations that have depth and breadth and investment to be able to outrun our respective competition,” he said.
- Walmart establishes strategic partnership with Microsoft to further accelerate digital innovation in retail – Walmart/Microsoft
- Walmart and Microsoft link up on cloud technology as they both battle Amazon – CNBC
- Amazon Foes Walmart and Microsoft Deepen Tech Partnership – The Wall Street Journal
DISCUSSION QUESTIONS: What will the new five-year cloud computing and AI deal between Microsoft and Walmart mean for the retailer and the companies that compete with it? Do you see the deal giving either companies an edge going forward over Amazon? Does the timing of the announcement today have anything to do with Amazon?