Apple may be investing in a significant network of data centers to provide storage for iCloud and its other services, but it still relies heavily on other companies for server space. One of those companies is Amazon.
CNBC reports Apple has a multiyear agreement with Amazon Web Services, for which Apple pays Amazon $30 million per month. That’s right, it’s more than your monthly Avocado Toast tab. (Barely.)
Apple’s cloud expenditure reflects the company’s determination to deliver online services like iCloud quickly and reliably, even if it must depend on a rival to do so.
The report’s sources tell CNBC that Apple’s current agreement with Amazon is an obligation to pay at least $1.5 billion on Amazon Web Services over five years. The deal means Apple is one of AWS’s top customers.
In addition to its monthly AWS tab, Apple is investing heavily in its own cloud storage infrastructure, In December the Cupertino firm revealed it expects to spend $10 billion over the next five years on U.S.-based data centers, $4.5 billion by the end of 2019.
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