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Top Five Companies Owned By Amazon

Amazon.com (NASDAQ:AMZN) is usually known as an e-commerce retailer and cloud computing company. Since its launch, the company has been expanding its operations. Today, it owns several businesses and websites. The company generates a lot of revenue from the businesses it has acquired. Here are some of Amazon’s most expensive acquisitions and the revenue they generate.

Whole Foods

The company acquired Whole Foods in 2017 for around $13.7 billion in an all-cash transaction. The grocery chain is the only USDA CertifiedOrganic grocery store in the US. Amazon has made some of its main products affordable and now offers 2-hour delivery from the stores to customers.  Amazon reportedly generated $4.5 billion from physical stores in Q4 2017, which demonstrates the potential revenue from Whole Foods.

Ring

The Ring is a home security company that Amazon acquired early last year for around 1.8 billion. It is one of Amazon’s significant acquisitions in recent times, and it is the second-largest for the e-commerce retailer. The home security company specializes in security devices that use the latest tech to provide enhanced security at home. Before the acquisition, the company had reported revenue of around $415 million, which is a reflection of its contribution to Amazon.

Also Read: The Top Ten FTSE 250 Companies In 2019 In Terms Of Trading Volume

Zappos

Amazon also ventured into fashion almost ten years ago, and they acquired online shoe retailer Zappos for close to $1 billion. However, Zappos has remained somewhat independent by maintaining its culture and values, making it harder for one to know that it is an Amazon entity. Amazon doesn’t disclose revenue from Zappos.  However, if it has maintained the growth rate as they acquired, it could have fetched $3 billion in 2017.

Twitch

Twitch is a video streaming platform that began in 2011, and Amazon acquired it in 2014 in a $970 million cash deal. The platform is popular among gamers in the video gaming industry. Amazon acquired it as a way of bolstering its amazon Web Services segment. Twitch generates revenue through subscription and ads embedded in videos.

Audible

Audible is the most popular online audiobooks repository that was unknown until Amazon made a move on it. The company acquired Audible in 2008 for around $300 million. With the acquisition, Audible was able to expand its operations in the digital space. Audible can complement the company’s Kindle e-book.

Besides the five companies, Amazon owns several other businesses and brands that have helped it continue to grow.

Ruchi Gupta

Ruchi Gupta covers various beats from finance to technology and from lifestyle to hobbies. She has an MBA in Finance. Ruchi enjoys writing on celebrities and political news. She likes traveling and exploring places.

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