Why Apple ready to pay $360 million a year to Amazon

The relationship between the two companies has come a lot closer to two of the world’s biggest tech companies – has become better.

A lot of Apple products are sold online on Amazon and not only for sale, but Apple is also depending on Amazon for other services too including the Amazon Web services. Apple reportedly will pay Amazon $30 million every month to Amazon Web Services.

The reason behind this is that product must be scatter using cloud services provided by Amazon so the company is ready to pay the amount. The company is known for the services it provides to the company must provide the cloud service too at better reason too. The CNBC report further suggests that Apple had reached a deal with Amazon to pay over $1.5 billion for the next five years to use its cloud services. The report further added thus the company has paid close to $350 million for these services.

The company has already entered into a various market other than mobile phone including launch of a credit card, gaming services, Apple TV+ and a magazine subscription service as well. With the Cupertino- based tech giant looking to add more customers, the cloud component becomes even more important. Apple’s Services division becomes even more critical as in2018 product shipment and sell were not good.

Amazon, on the other hand, has always been a big player with its cloud. There are a lot of companies who want to join hands with the company in order to get cloud services.

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