Amazon Invests Heavily in Cloud, Tablet Development

“Sales of its Kindle ebook reader helped boost revenue by 51% in the second-quarter to $9.91 billion, topping predictions. However, net income fell to $191 million from $207 million, and operating profit margin fell to 2% from 4.1% a year earlier, after heavy spending on distribution, technology and digital content.”
There is also a quote in there about Amazon from Michael Souers, speciality retail analyst at S&P Equity Research.   “They’re sacrificing near-term profitability for longer-term revenue growth … As long as they are able to transform growth into profits in the future, investors will be satisfied. The chances are strong.”

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