retail news in context, analysis with attitude

CNBC reports that Walmart is telling some of the tech companies with which it does business that if they want to continue the relationship, they no longer should "run applications on Amazon's cloud platform, Amazon Web Services."

It is not an across-the-board position, and Walmart reportedly "uses some tech vendors' cloud apps that run on AWS," according to the story. But the company does "acknowledge instances where Wal-Mart is pushing for AWS alternatives."

The shift in position comes less than a week after Amazon declared its intention to stake out a claim on bricks-and-mortar retailing by making a $13.7 billion bid to acquire Whole Foods.

A Walmart spokesman said that "our vendors have the choice of using any cloud provider that meets their needs and their customers' needs. It shouldn't be a big surprise that there are cases in which we'd prefer our most sensitive data isn't sitting on a competitor's platform."

CNBC reports that Walmart is not alone in staking out this position: "Other large retailers are reportedly requesting that service providers move away from AWS."

An Amazon spokesman responded to the report by saying that it was an effort to "bully" vendors: "Tactics like this are bad for business and customers," he said.
KC's View:
I have to admit that I sort of admire Walmart's tactics on this one. After all, it is just working to avoid contributing to Amazon's bottom line.

This may be a small thing on its own, but lots of small things tend to add up.