Connect with us

Business

Jeff Bezos Steps Down as Amazon CEO- How Much Power Will He Give Up?

Published

on

Jeff Bezos

Amazon founder Jeff Bezos has officially stepped down as the company’s chief executive, handing that role over to Andy Jassy, in order to focus on “new products and early initiatives”.

With a total net worth of $203bn (£146bn) according to the Bloomberg Billionaires Index, the 57-year-old is now expected to devote more of his time to a handful of personal projects.

Among the most immediate adventures for Mr. Bezos is a launch with his private spaceflight company Blue Origin, scheduled for 20 July, on which he will be joined by his brother, Mark; a mystery customer who paid $28m (£20m) for the seat in an auction; and 82-year-old Mary Wallace “Wally” Funk.

The Amazon founder also said he would be investing more of his time (and one expects, wealth) in fighting climate change and overseeing The Washington Post, the newspaper he owns.

How much power is Bezos really giving up?

Bezos may be leaving his current role at the company – and on the 27th anniversary of when it was founded – but isn’t leaving Amazon itself.

Instead, he’s transitioning to the role of the executive chair – functioning as a kind of strategic adviser to the CEO. The transition from CEO to executive chair has happened before when Bill Gates was leaving Microsoft, and Eric Schmidt leaving Google and has been called the apprenticeship model of corporate succession.

As Amazon’s chief financial officer Brian Olsavsky told reporters: “Jeff is not really going anywhere. It’s more of a restructuring of who’s doing what.”

Bezos also retains just over 10% of all of Amazon’s shares, making him the single largest shareholder and securing his ability to shape the decisions of the new CEO, especially when they disagree about the firm’s strategic direction.

Russ Mould, investment director at AJ Bell, explained: “The fact he is stepping down as chief executive of Amazon doesn’t mean he is disappearing; far from it as he is becoming executive chairman.

“The chairman’s role is to keep the chief executive in order, so Bezos will still be ingrained in the business and be able to provide guidance on a range of strategic issues.

“He is also a major shareholder which gives him considerable influence on how the business is run.”

Who replaced jeff?

Andy Jassy is now Amazon’s chief executive.

He joined the company in 1997 and has led its cloud computing platform, Amazon Web Services (AWS), since 2003.

AWS has been a huge success for the business, today contributing roughly 42 percent of Amazon’s total profits, and was instrumental in moving the company from online commerce into enterprise technology.

It put Amazon into direct competition with technology giants including Microsoft, Google, and Oracle, and cemented the company’s place in the infrastructure of the internet.

AWS has stressed its “low-margin, high-volume” business model when acquiring customers, and now provides the hardware supporting cloud services for massive streaming companies including Spotify and Netflix, as well as large parts of the UK civil service and even the US Central Intelligence Agency.

He has also been more outspoken than Bezos on some of the most divisive issues in America, tweeting about the death of Breonna Taylor last year: “We still don’t get it in the US. If you don’t hold police depts accountable for murdering black people, we will never have justice and change, or be the country we aspire (and claim) to be.”

Continue Reading
Comments

Business

Nigeria’s Paper Import Bill Hits $3 Billion Annually, Reveals FAE Limited MD

Published

on

Funlayo Okeowo, the Managing Director of FAE Limited, a prominent paper manufacturing firm, has disclosed that Nigeria’s annual expenditure on paper imports stands at $3 billion.

Okeowo made this revelation during a recent press conference held in Lagos to commemorate the company’s 50th anniversary.

Addressing reporters, Okeowo explained the crucial role of manufacturing in driving economic growth and underscored the challenges faced by the sector, particularly concerning operational costs.

She highlighted that a significant portion of manufacturers’ profits, up to 80%, is being consumed by diesel expenses, making it increasingly difficult for businesses to remain profitable.

Expressing concern over the financial strain faced by manufacturers, Okeowo called upon the government to take decisive action to alleviate the burdens faced by the industry.

She emphasized the need for policies and interventions aimed at reducing operational costs and fostering a conducive environment for manufacturing growth.

In addition to addressing the pressing issues surrounding manufacturing, Okeowo also unveiled plans for the establishment of ‘World Envelopes Day,’ an initiative aimed at raising awareness about the significance of envelopes in various aspects of human communication and expression.

The initiative, set to be celebrated annually on April 16th, reflects FAE Limited’s commitment to promoting the cultural and practical importance of envelopes in society.

As part of the company’s anniversary celebrations, FAE Limited will host a special roundtable event featuring key stakeholders from diverse sectors to discuss the past, present, and future of the paper manufacturing industry in Nigeria.

This event is expected to provide valuable insights and recommendations for driving

Continue Reading

Business

Economist Intelligence Unit Warns Indigenous Oil Companies of Investment Gap

Published

on

Oil

The Economist Intelligence Unit (EIU) has issued a cautionary note to indigenous oil companies eyeing the acquisition of assets from divesting international oil companies, warning them of potential investment challenges.

In its latest Country Report on Nigeria, the EIU underscored that local companies may not match the financial prowess of multinational firms, historically significant players in Nigeria’s oil industry.

Citing concerns over Nigeria’s business environment, characterized by corruption, insecurity, and infrastructure deficits, the EIU projected a possible net withdrawal of foreign direct investment (FDI) in 2024, following a similar trend observed in the previous year.

The report pointed to multinational corporations scaling back or exiting Nigeria altogether, exacerbating the economic landscape’s challenges.

Foreign oil companies, including Shell, ExxonMobil, Equinor, and TotalEnergies, have announced plans to divest their onshore oil assets, signaling a shift toward offshore operations.

This trend aligns with the broader industry shift and poses significant implications for indigenous players.

While government officials like the Minister of State for Petroleum, Heineken Lokpobiri, view these divestments as opportunities for local capacity development, concerns remain over indigenous firms’ ability to fill the investment void left by departing multinationals.

The EIU emphasized the positive potential for local participation in the sector’s indigenization, but cautioned that indigenous companies might struggle to match outgoing multinationals’ investment capabilities.

This warning underscores the imperative for strategic planning and support mechanisms to ensure indigenous firms can navigate the evolving landscape and contribute meaningfully to Nigeria’s oil industry sustainability.

Continue Reading

Appointments

Heirs Technology Appoints Obong Idiong as Chief Executive Officer (CEO)

Published

on

Obong-Idiong

Heirs Technology, the latest subsidiary of investment powerhouse Heirs Holdings, has announced the appointment of Obong Idiong as its Chief Executive Officer (CEO).

This move marks a significant step in the company’s mission to spearhead Africa’s digital transformation through innovative and locally tailored solutions.

Idiong, who previously served as the Managing Director/CEO at Africa Prudential Plc, brings a wealth of experience and a visionary approach to his new role.

During his tenure at Africa Prudential Plc, he led the digital transformation of its registrar services, positioning the company as a technology-driven organization.

His track record of success and expertise in the technology sector make him well-suited to lead Heirs Technology into a new era of growth and innovation.

In his statement following the appointment, Idiong expressed pride in bringing Heirs Holdings’ core values and business approach to the tech sector.

He highlighted the company’s commitment to excellence, execution, and enterprise, aiming to bridge the gap in the technology ecosystem by delivering local relevance to a global market and offering cutting-edge solutions to enhance competitiveness.

Also, Dr. Fumbi Chima has been appointed as the Chair of Heirs Technology. With her extensive experience in technology leadership roles across global organizations, including Adidas, Fox Network Group, and Walmart, Chima brings a wealth of knowledge and insights to her new role.

She expressed enthusiasm for the opportunity to unlock Africa’s potential through Heirs Technology, confident that the company will make a meaningful impact on the continent’s digital landscape.

Heirs Technology’s strategic appointments underscore its commitment to driving Africa’s digital agenda forward and positioning the continent as a leader in technology innovation and entrepreneurship.

Continue Reading
Advertisement




Advertisement
Advertisement
Advertisement

Trending