Amazon's Jeff Bezos Steps Down as CEO After 27 Years (Comprehensive)

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[Asia Economy Reporter Yujin Cho] Jeff Bezos, the founder and CEO of Amazon, is reported by the Wall Street Journal (WSJ) and others on the 2nd (local time) to be stepping down from his CEO position in the third quarter of this year.

At the event where he announced the fourth-quarter earnings, Bezos stated that starting from the third quarter, he will retain the chairman position while serving as the chairman of the board. Bezos's successor will be Andy Jassy, CEO of Amazon Web Services (AWS).

Bezos said, "Since Amazon is currently showing its most creative and innovative side, I believe now is the optimal time for a CEO transition," and added, "Andy Jassy has been with Amazon for a long time, and I believe he will be an excellent leader."

Jassy, the next CEO and current AWS CEO, joined Amazon in 1997, three years after its founding, and has led the AWS team. AWS is the core business generating more than half of Amazon's revenue. As of the fourth quarter last year, 52% of total revenue came from AWS.

According to the U.S. economic media CNBC, Bezos is expected to focus on other areas such as rocket and spacecraft development and media business. In an earlier email to employees, he said, "I will continue to participate in company management as chairman of the board, but I want to focus more of my energy and attention on new projects."

Bezos is leading the development of rockets and spacecraft through Blue Origin, which he founded, and is reportedly focusing on digital transformation by strengthening online content at The Washington Post, which he acquired in 2014.

This announcement came alongside the disclosure of quarterly results that recorded sales exceeding $100 billion for the first time ever. Amazon announced that it recorded $100 billion in sales for the first time in the fourth quarter last year. This remarkable growth was achieved despite the impact of COVID-19, benefiting from the growth of the non-face-to-face market.

In the fourth quarter last year, Amazon's sales and operating profit increased by 44% and 77% year-on-year, reaching $125.6 billion (approximately 140 trillion won) and $6.9 billion, respectively. The annual sales for last year were $386.1 billion, and operating profit was $22.9 billion.

Bezos founded Amazon in 1994 as an internet bookstore and transformed it into a major e-commerce company. During his 27 years of managing Amazon, the company's market capitalization surpassed $1 trillion last year and is now approaching $2 trillion (closing at $1.696 trillion as of the previous day).

This content was produced with the assistance of AI translation services.