What effect will Brexit have on AWS plans for the future?


Amazon Web Services (AWS) currently has active regions in Dublin and Frankfurt, with the former often being used by AWS’ European customers due to the broader base of services offered there. AWS is building a datacentre in London today with a go-live date of late 2016 or early 2017. So what effect will this Brexit have on AWS plans for the future?

What is Brexit? And AWS plans for the future?

With Brexit been an anagram of “British Exit” from the European Union and sounding like somebody broke something and wants to get out quick, the future if we are to believe everything we see and hear about this, is uncertainty for the foreseeable future. But as we all are fully aware business matters, political unrest, Currency fluctuations and austerity have played a major role in people’s lives over the past decade.

If history has taught us anything “Don’t panic “it’ll settle down people will soon stop talking about it and get on with the here and the now. That’s exactly what AWS has done, with the media and internet highlighting how American Business will suffer with currency fluctuation of the Euro against sterling, strengthen the dollar prices, AWS are looking at the global picture and recognizing the immediate damage the Brexit has on global markets.

Announced at the recent London summit AWS are doing their part to reassure their UK customers how valuable their custom is to AWS and now more than ever, the need for a cluster of data centres in UK, is vital for growth in the future, stability and confident HomeLand data protection.

What does this mean for AWS customers in UK?

AWS Vice President for Worldwide Public Sector Teresa Carlson told The Register “AWS is working with customers on ways they can get better value frOm their Amazon Cloud.”

Gavin Clarke wrote, “AWS has claimed it is trying to shield cloud customers in the UK from the plunge in the value of sterling against the US dollar”.

What is AWS recommending?

AWS and cloud computing provides business customers a unique opportunity now, that was unthinkable in the pre-cloud era, to plan for the future, stabilize monetary transactions and increase profits in an unstable environment. AWS encourages customers to avail of their cost saving services i.e. by shifting onto Amazon Reserved Instances(RI) rather than using pay as you go method, the currency fluctuation against the sterling and the dollar will have fare less impact because of the volume discount programmes AWS offer. With savings of 30%-75% achievable compare to On-Demand and 90% achievable with Spot Instances (see blog), AWS continue to offer customers value for money.

So, what happens next?

There is no doubt the immediate effect of Brexit has caused uncertainty around the globe. But the UK, are not the only country trying to gain back their sovereignty from Europe. France and Italy are also considering voting on this topic. So although Brexit is causing a stir at the moment the powers that be will reach an amicable agreement for all, and business will carry on as normal.

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