Amazon.com, Inc. (AMZN) Killed Netflix, Inc. (NFLX) (By Accident)

Amazon.com Inc. (AMZN) -vs-Netflix Inc. (NFLX)

Netflix, Inc. went down in the North East of the US on Sunday after Amazon.com, Inc. had a problem with servers it uses to support Amazon Web Services. The platform is the most successful cloud platform out there, and it’s the basis of many popular web services.

Natt Garun over at The Next Web reported on Sunday that a problem in an Amazon server farm was causing outages across all sorts of web platforms. Netflix and Reddit were two of the biggest names on the list, but the issue also pulled Pocket, Nest, IMDB, Medium, and many sites off of the web.

Amazon (AMZN) vs Netflix (NFLX)

Amazon kills Netflix

The problems that the Amazon Web Services outage caused appear to have been fixed on Monday morning, but it highlights how fragile, and resilient, Amazon’s cloud platform can be. The system may go down from time to time, but it’s been fixed quickly.

Amazon is more open and honest than most about the health of the service it offers. On the Dashboard where it records the stability and performance of Amazon Web Services, the firm shows service disruption across the board for Sunday.

Amazon managed to fix the problems, including those with Netflix, by the middle of the day on the East Coast on Sunday. Despite putting itself directly against Netflix on a lot of fronts, the firm cares a lot more about the health of its cloud business than it does any advantage it could get from putting hurdles in the way of the Netflix streaming platform.

Amazon and Netflix work together

Amazon.com Inc.   and Netflix both had a lot to celebrate on Sunday after their content won awards at the 2015 Emmy’s.

Both firms have more to gain by working together to ill traditional TV rather than working against each other. That doesn’t stop the firms competing on some fronts, of course, but there’s little conflict for Amazon as it offers its platform to Netflix.

Amazon Web Services is one of the most powerful and important parts of the web, and it’s the Amazon  business that those with shares tend to be most excited about.

Back in August the Wall Street Journal said that Netflix was planning to shut down the last of its data centers in the US. Reed Hastings’ firm will, for the foreseeable future, use Amazon Web Services to support the whole Netflix platform.

That’s a ringing endorsement for Mr. Bezos’ project. Sunday’s outage is a clear sign that the team running the cloud platform for the Seattle firm is very able indeed. The short outage across the service in the North East was resolved quickly, and Amazon will continue to claim a strong record in reliability going forward.

Netflix Inc. was likely unphased by the outage. The firm, according to CEO Hastings, sees itself as a “learning machine” rather than a streaming platform. “Every time we put out a new show we are analyzing it, figuring out what worked and what didn’t so we get better next time” he told CNBC last week.

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