Amazon Launches Cloud Marketplace

Starting today, Amazon cloud customers can resell their bandwidth to third parties–with Amazon taking a 12% cut of the profits.

Amazon has quietly created a marketplace for customers to resell AWS cloud server time–earning Amazon a hefty commission in the process. The new project, awkwardly titled the Amazon EC2 Reserved Instance Marketplace, allows Amazon’s cloud customers to resell compute capacity to interested third parties. Amazon will net a 12% commission on all third party reserve instance sales. At the moment, resellers must have American bank accounts and complete an online tax interview before reaching 200 transactions or $20,000 in sales.

For cloud computing customers, Amazon’s announcement is a huge sea change. The retail and cloud computing giant has essentially created a free market for resale of cloud resources, and customers will have access to much more flexible business arrangements.

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