October 9, 2008

Amazon Web Services Lowers Pricing for Amazon S3

Amazon Web Services LLC, a subsidiary of Amazon.com, Inc. (NASDAQ: AMZN), today announced that it will lower prices for the Amazon Simple Storage Service (Amazon S3) effective November 1, 2008. New tiered pricing will offer significant volume discounts so customer costs will continue to decrease as their storage volume grows. As always, there is no minimum fee, no long term commitment, and developers pay only for what they use. Amazon S3 is storage for the Internet. It provides a simple web services interface that can be used to store any amount of data in either the US or Europe and retrieve the data, at any time, from anywhere on the web. To get started using Amazon S3, visit http://aws.amazon.com.

Today, there are over 29 billion objects stored in Amazon S3, up from 22 billion at the end of Q2 2008. On October 1st, the service peaked at over 70,000 requests per second to store, retrieve, or delete an object. Businesses of all sizes are taking advantage of Amazon S3 to store and back up their data, host their static website content, or share files with their external business partners in a secure, scalable, reliable, and cost-effective way. Now, Amazon S3 customers will benefit from even lower storage prices with the following tiered pricing:

 Tier               US     EU     Description 0-50 TB            $0.150 $0.180 First 50 TB per month of storage used 50-100 TB          $0.140 $0.170 Next 50 TB per month of storage used 100-500 TB         $0.130 $0.160 Next 400 TB per month of storage used 500+ TB            $0.120 $0.150 Storage used per month over 500 TB 

"The growth of Amazon Web Services has allowed us to become even more efficient and further lower our operating expenses. AWS remains committed to passing savings along to our customers. Just six months ago, we announced a reduction in data transfer costs, and today we're pleased to pass new storage savings along to our customers," said Alyssa Henry, general manager of the Amazon Simple Storage Service.

From fast-growing startups to global enterprises, companies of all sizes are taking advantage of on demand storage provided by Amazon S3. Some of the companies which have recently adopted Amazon S3 include:

National Geographic's, topo.com, provides seamless topographic maps for the entire U.S. Users can buy maps, download updated trail and trip information and even create trip maps to share with their friends. "We've been very pleased with the performance and reliability of Amazon Web Services," said Paul Glauthier, vice president of Research Development for National Geographic Maps. "Prior to Amazon S3, the resources required to host such a large data set would have been cost prohibitive. By utilizing AWS, we are able to focus on creating new and innovative functionality for our users."

Sonian is a large-scale content archive that solves email compliance, e-discovery and storage issues for enterprises of all sizes. "Sonian uses Amazon S3, as well as Amazon EC2, Amazon SQS and Amazon SimpleDB to power our solution and achieve incredible scale and reliability," said Greg Arnette, co-founder and chief technology officer for Sonian. "Amazon Web Services is a pioneer in cloud compute technologies and has enabled Sonian to provision enterprise-friendly and secure storage and compute, without sacrificing data security and performance."

"Oracle is pleased to team with AWS on cloud computing for our enterprise customers. With Oracle Secure Backup Cloud module, customers can use Amazon S3 for reliable, scalable database backup into the cloud with virtually unlimited capacity and no up-front capital expenditures," said Robert Shimp, group vice president Oracle Global Technology Business Unit. "The introduction of volume pricing for Amazon S3 should make this an even more compelling value proposition."

Indycar.com and indy500.com utilize Amazon Web Services for web hosting, live video streaming, and live timing and scoring applications. "AWS allows us to use only the servers we need and save us the additional costs of managing our own hardware. During the Indianapolis 500 in May, we were able to save over 50% in costs," said Adrian Payne, manager of online services for the Indianapolis Motor Speedway.

Businesses in a variety of industries are taking advantage of the instant scalability that Amazon Web Services provides. Over 400,000 developers have registered to use Amazon Web Services. Sign up to use Amazon S3 on the Amazon Web Services website at http://aws.amazon.com.

About Amazon S3

Amazon S3 is storage for the Internet. It is designed to make web-scale computing easier for developers. Amazon S3 provides a simple web services interface that can be used to store and retrieve any amount of data, at any time, from anywhere on the web. It gives any developer access to the same highly scalable, reliable, fast, inexpensive data storage infrastructure that Amazon uses to run its own global network of web sites. The service aims to maximize benefits of scale and to pass those benefits on to developers.

About Amazon.com

Amazon.com, Inc., (NASDAQ: AMZN), a Fortune 500 company based in Seattle, opened on the World Wide Web in July 1995 and today offers Earth's Biggest Selection. Amazon.com, Inc. seeks to be Earth's most customer-centric company, where customers can find and discover anything they might want to buy online, and endeavors to offer its customers the lowest possible prices. Amazon.com and other sellers offer millions of unique new, refurbished and used items in categories such as books, movies, music & games, digital downloads, electronics & computers, home & garden, toys, kids & baby, grocery, apparel, shoes & jewelry, health & beauty, sports & outdoors, and tools, auto & industrial.

Amazon Web Services provides Amazon's developer customers with access to in-the-cloud infrastructure services based on Amazon's own back-end technology platform, which developers can use to enable virtually any type of business. Examples of the services offered by Amazon Web Services are Amazon Elastic Compute Cloud (Amazon EC2), Amazon Simple Storage Service (Amazon S3), Amazon SimpleDB, Amazon Simple Queue Service (Amazon SQS), Amazon Flexible Payments Service (Amazon FPS), and Amazon Mechanical Turk.

Amazon and its affiliates operate websites, including www.amazon.com, www.amazon.co.uk, www.amazon.de, www.amazon.co.jp, www.amazon.fr, www.amazon.ca, and the Joyo Amazon websites at www.joyo.cn and www.amazon.cn.

As used herein, "Amazon.com,""we,""our" and similar terms include Amazon.com, Inc., and its subsidiaries, unless the context indicates otherwise.

Forward-Looking Statements

This announcement contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Actual results may differ significantly from management's expectations. These forward-looking statements involve risks and uncertainties that include, among others, risks related to competition, management of growth, new products, services and technologies, potential fluctuations in operating results, international expansion, outcomes of legal proceedings and claims, fulfillment center optimization, seasonality, commercial agreements, acquisitions and strategic transactions, foreign exchange rates, system interruption, significant amount of indebtedness, inventory, government regulation and taxation, payments and fraud. More information about factors that potentially could affect Amazon.com's financial results is included in Amazon.com's filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended December 31, 2007, and subsequent filings.