How AWS has disrupted companies and sectorsWhen Amazon.com launched Amazon Web Services a decade ago no one could have imagined that the business, viewed largely as a sideshow geared to serve the ecommerce company\u2019s e-tailing interests, would become a significant player in corporate computing. But as CIO.com noted last week, AWS\u2019 public cloud software, now a $13 billion business, has become a serious contender in the enterprise.Capital One, Matson and Conde Nast among others are entrusting their computing needs to AWS. Matson has closed four data centers while Capital One is reducing its data center footprint from eight to three. \u201cFor us it came down to the recognition that we have limited bandwidth in our organization and we want to put our energy, engineering and innovation resources and leadership bandwidth into doing the things that will make a difference for us strategically in the marketplace,\u201d Capital One CIO Rob Alexander tells CIO.com.The monumental shift from purchasing hardware and software, including servers, storage arrays, routers and virtualization and other server management applications, has disrupted vendors who have made billions selling IT solutions. That\u2019s a big reason why 451 Research analyst Carl Brooks says AWS threatens every sector.\u201cThey are essentially reinventing the way IT is being done,\u201d Brooks says. \u201cAWS is the largest cloud service provider by an order of magnitutde but it\u2019s one of hundreds that offer congruent servives and they\u2019re all having a great time.\u201d CIO.com chronicles how AWS had disrupted companies and sectors.MicrosoftImage by ThinkstockAWS\u2019 rise disrupted Microsoft\u2019s robust software server and tools business, which had thrived selling virtualization software and other tools companies could deploy in their data centers. Microsoft can relate on that disruption front. Brooks says that AWS\u2019s sneak attack on the enterprise closely rivals that of Microsoft\u2019s client-server technologies, including its Windows ecosystem and Active Directory tools that have powerered corporate offices for the last two decades. Brooks notes, \u201cMicrosoft impacted every part of the software market, mostly because a lot of folks had to rewrite their software to run on Windows, as much as software vendors have to participate in the AWS marketplace or make their software compatible with Amazon resources.\u201d Microsoft launched Azure to counter AWS and given its broad enterprise channel it is widely considered the greatest threat to AWS.GoogleImage by ThinkstockGoogle is a native cloud company, which arguably gives it and advantage in competing with AWS. However, while Google launched its corporate version of Google Apps around the same time AWS debuted, it was slow to extend its cloud footprint to the infrastructure market, first dipping its toe with the Google App Engine in 2008. Google has since expanded its own Google Cloud Platform, which is used by the likes of Coca-Cola, Disney and Best Buy.OracleImage by ThinkstockIf there is a software vendor that has seen it business disrupted more than Oracle we don\u2019t know who it is. AWS has expanded its stack to include QuickSight business intelligence and Redshift data-warehouse software, a direct threat to Oracle\u2019s database software business. Oracle has responded to the incursion by going all in on the cloud. It has acquired several companies and enticed customers to move from on-premises versions of Oracle software to cloud-based versions, essentially swapping one revenue stream for another, Brooks says.IBMImage by ThinkstockIBM has been steadily watching revenue and profit decline amid weaknesses in its systems segment, which includes mainframes and operating-system software. The top-line decline is a big reason IBM acquired SoftLayer and has been introducing Bluemix cloud services, an example of how AWS is pulling the market in its direction. IBM is also hoping its Watson analytics and blockchain efforts bear fruit. \u201cEveryone in the hardware market has been disrupted by AWS [and cloud vendors],\u201d Brooks says.HPImage by ThinkstockTwo short years ago there was only one HP. Amid softening sales HP in 2015 split into HP Inc., a seller of printers and computers, and HPE, a seller of enterprise IT. HPE this year has spun off its software and services businesses as well as it seeks to become more nimble and regain ground lost to AWS and other cloud players in the enterprise.DellImage by ThinkstockLike HP, Dell was once a formidable seller of servers, storage and desktops, Dell has gone through comparable, if not more, changes than HP. As AWS and other cloud vendors dampened its prospects Dell went private in 2013 and has been since reimagining itself as a broker of the very cloud services AWS, Microsoft, Google and others provide. It later merged with struggling storage player EMC and sold its services, software and enterprise content businesses.VerizonImage by ThinkstockAWS has also made it challenging for telecommunications operators that had designs on the cloud market. Recognizing that AWS, Microsoft and others are too far ahead in the game, Verizon just sold 29 data centers to co-location vendor Equinix, as it focuses on its core mobile and video businesses.IT security marketImage by ThinkstockWith more technology assets moving to public clouds operated by AWS, Microsoft, Google and a hundred other players, companies are entrusting the security of their data to their cloud providers, which means they have fewer data centers protected by guards. Cloud providers have automated tools to detect hackers. Companies are investing more on tools to detect social-engineering hacks via PCs, such as phishing and whaling scams, as well as advanced threat protection and predictive analytics to anticipate attacks. \u201cIt has turned the information security market inside out,\u201d Brooks says.Compliance marketImage by ThinkstockBefore the cloud, compliance was largely a manual, paper-heavy process conducted by auditors. But with AWS and other solution providers automating compliance capabilities, companies don\u2019t have to rely on human intervention as much. \u201cAmazon is doing away with those needs \u2026 and that is going to be a significant change because compliance is hard to automate and a resource intensive and unpleasant thing that IT has to do,\u201d Brooks says.Channel resellersImage by ThinkstockChannel resellers still stock warehouses with PCs, servers and software packages from Microsoft and many of the traditional hardware makers and on-premises software vendors listed above. But they\u2019ve also evolved to become cloud brokers \u2013 not unlike what Dell fancies itself. Ingram, CDW, Avnet and other have all altered their models to account for the cloud shift. Brooks says. \u201cWe are seeing a fundamental disruption around the model that AWS has pioneered and is currently dominating,\u201d Brooks says.