Jeff Bezos, who founded Amazon on a whim some 26 years ago, will step down as CEO later this year.
He will be succeeded in the third quarter by Andy Jassy, who runs Amazon Web Services.
This comes after archrival Marc Lore announced that he would step down as head of Walmart.com. The 2 have long battled in the E-commerce space.
Mr. Bezos has been heavily involved in Amazon’s strategies as it grew from a small online bookseller to the everything store, with a market cap of $1.7 trillion. A share of Amazon in 1997 sold for $1.73. Today that share is worth $3,380! A $10,000 investment would be worth nearly $20 million today.
Here is an incredible 1999 interview that Mr. Bezos gave to 60 Minutes:
And here’s a 1999 CNBC interview:
How do you think this news will affect Amazon going forward?
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48 Comments On "Jeff Bezos Will Step Down As Amazon CEO!"
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No idea how fortune 500 companies work.
Why do CEO’S step down ?
What changes practically?
They can step down because they want to retire or if there’s a scandal. Often times the public would never know.
The CEO decides the direction of the company. Anything can change when the CEO changes.
So let’s say he’s retiring, it’s their business, why do they lose maybin the company? Because it’s public ?
English please?
He still owns majority of the company, thus would stay in the board as the biggest decision maker. but most tasks will be done by his CEO. So he’s pretty much just hiring a manager for the whole company. That CEO still answers to him and the board/majority shareholders.
He does not own majority of the company
What?
He only owns 11.1% of the company’s stock. Those shares happen to be worth $188 Billion. He is also the largest stockholder.
How will it affect your Amazon stock tomorrow is the q š
Stock doesnāt seem to be affected in after hours
Wonder if there is an investigation brewing which caused this action
Amazon will be fine, wonder what Jeff will do next ??
And hope Marc lore builds a real Amazon competitor ….
They certain won’t disappear… but new blood could concentrate more on uber profit over customer experience. Would be a mistake… but quite honestly they have started to lean in that direction even under Jeff this past few years.
Why the exclamation? Is that a good thing?
“An exclamation mark is used to show when something is surprising or forceful.”
Welcome to Dan that has an answer to every question
Jassy is Jewish with Hungarian ancestry.
if he remains the biggest stockholder ,what does this mean
The CEO is the face of the company and has the biggest influence on its direction. It will now be a new person. The biggest stockholder has influence… but not like the CEO.
This goes got show yall how important AWS is to Amazon business. (Perhaps from a strategic standpoint, it’s equally as important as amazon’s regular marketplace. Especially if antitrust regulators (eventually) treat amazon as a common carrier or decide to force it to spin off AWS)
I wonder if this will make the corporate culture @ amazon, a better more enjoyable place to work? Bezos was a kinda scary boss.
The idea behind AWS was that no other company can put them in a stranglehold… and it is nice to operate your own services at cost. Same reason they buy their own trucks, vans and planes as much as possible. Once they built such a huge platform for themselves… no reason not make it a for profit service. Alibaba has the same thing…. Alibaba Cloud and they offer security services and other ancillary items). Interesting Amazon did not also open an insurance company like Walmart did.
Gd that laugh of his is evil
More dorky than evil… but wow!
The market dosn’t seem that worried about this move if they can continue on the path they are on,it will be just fine #monopoly
Perhaps Bezos is simply stepping down because he got bored . Bezos already proved he can build the greatest retailer in history . Now he wants to focus on more complex projects . For example Blue Origin, his rocket company and other projects .
Another Elon Musk?
Yep
https://finance.yahoo.com/news/unleashed-jeff-bezos-seek-shift-120913932.html
His laugher is “Kamala Harris” style in a male version
On target!!
Does that means in any way that his paycheck or his fortune will be less ?
Yes, he will lose is $81,840 paycheck. That was his annual salary. His compensation also included security services, though, which amounted to about $1.6 million. I don’t believe the lose of either will really affect his fortune. š
20 million would be without any dividends. Having reinvested those dividends it would be a much larger number
Amazon doesn’t pay dividends.
I actually wrote that comment a minute later for some reason you moderated it…?
You posted after I responded, but if you want it there anyway, here ya go.
Stocks that don’t give divis are generally worth more simply because the company took those divis for you and reinvested it in the company. Good thing is you don’t pay income taxes on those divis till you sell. So counterfactually, had Amazon given a divi, you’d be less well off because a portion of each divi payment would have gone to the government; you would only have, for example, 65% of the divi to reinvest. But Amazon or any other corporation can reinvest 100% of your divi for you! How sweet!
Actually they donāt give dividends
Amazing how blown away the 60 min interviewer is that:
1. Machine learning algorithms can predict user preference.
2. eCommerce is poised to overtake Sears.
Things that we take for granted these days.
I love the comparison to Kmart. Wow that was a log time ago.
2 things that might have triggered this IMHO:
1. He got in trouble with the gov. so now he could say that it’s not me…
2. There is a way Amazon could make money off this.
Maybe it’s the beginning of a Parler scandal.
Alternative headline: ā13 days after Trump era ends, Amazonās CEO announces resignation.ā
Think Bill Gates and Microsoft. Jeff wants to move on to philanthropy and his Space company. Like Bill he chose an amazing CEO, and the company will be fine, if not better.
Amazon has had 3 stock splits since its IPO. So one share for $1.73 in 97 would yield you 60 stocks today. Giving you about 200k
I’m pretty sure that splits are normalized when looking back at stock prices, so the backwards looking price in the charts has already been divided by those splits.
Dan – you are correct. It was actually about $18 a share. However, it did a 2 for 1 split then a 3 for 1 and then another 2 for 1 making a current share 1/12th of an original share and a relevant adjusted price more like $1.50… which is what you are seeing.
When you are the founder and largest shareholder of a company like Amazon, the salary you draw as CEO (if anything) is a tiny fraction of your income. Bezos is the richest person in the world (or #2-3) because of his stocks.
The only reasons to stay on as CEO at that point is ego (you think you’ll provide the best returns to the shareholders i.e. yourself), or just because it’s fun. At a certain point, CEOs just get bored and retire. Of course, in most cases, as the Chairperson and largest shareholder, the founder is still really setting the direction of the company, but they are just delegating out the day-to-day.
Him resigning likely has nothing to do with a scandal. He just might want to do something else with his life and start to spend/donate all his money.
Rumor has it he had to write a POA and they kept rejecting it. He got frustrated and resgined.