Amazon CEO and founder Jeff Bezos announced on Tuesday that he would step down as the company’s CEO. Bezos will take over as the executive chairman in the third quarter of this year. However, the head of Amazon’s cloud division Amazon Web Services (AWS) Andy Jassy will take over as the new CEO of Amazon. Bezos informed his employees about his decision to step down as the CEO through an email.
Bezos said that he intends to focus on new products and initiatives in his letter. He is the biggest shareholder in Amazon, so despite stepping down as the CEO, he will still have a lot of control over the company. In September 2020, Jeff Bezos topped the Forbes’ list of richest Americans for the third year in a row. His net worth now crossed $202 billion after an increase of $5.22 billion in a single day. Bezos, who started the company 27 years ago as an internet bookseller, said in a note to employees posted on Amazon’s website, “As Exec Chair I will stay engaged in important Amazon initiatives but also have the time and energy I need to focus on the Day 1 Fund, the Bezos Earth Fund, Blue Origin, The Washington Post, and my other passions.” He added, “I’ve never had more energy, and this isn’t about retiring.” Amazon shares were up less than 1% in after-hours trading.
Jassy joined Amazon in 1997 and has a MBA from Harvard Business School, according to the company’s website. He founded Amazon Web Services (AWS) and grew it to a cloud platform used by millions, the company said. Since the start of the US coronavirus outbreak, consumers have turned increasingly to Amazon for delivery of home staples and medical supplies. Brick-and-mortar shops closed their doors; Amazon, the world’s largest online retailer, instead recruited over 400,000 more workers and posted consecutive record profits.
