Major props to Jeff Bezos who just gave a giant finger to shareholders and analysts upset for Amazon posting below-expectations earnings after $3 billion increases in expenses.
Now, if the eyes of some shareowners dutifully reading this letter are by this point glazing over, I will awaken you by pointing out that, in my opinion, these techniques are not idly pursued – they lead directly to free cash flow.
It’s part of their DNA, not R&D:
All the effort we put into technology might not matter that much if we kept technology off to the side in some sort of R&D department, but we don’t take that approach. Technology infuses all of our teams, all of our processes, our decision-making, and our approach to innovation in each of our businesses. It is deeply integrated into everything we do.
Stockholders take note – unless you’re looking to buy now and sell in a few hours or days, this is how you build a long-lasting company. If you bow down to the analysts and shareholders demanding quarterly growth. Kudos to Jeff Bezos for having the guts to stand up.