I am a huge bull when it comes to online retailer Amazon (AMZN). AMZN is what I call a “stock dominator,” and that means their very existence has changed the world for good. It also means Amazon stock is one of those I think just about every investor must own.
Amazon, led by genius CEO Jeff Bezos, has always wanted to expand in China. And this week, AMZN did just that, signing a new agreement to expand its cloud empire into China. The agreement is with the Beijing and Ningxia governments to offer Amazon Web Services (online services for building and running large software applications) from data centers in Western China.
Unlike other areas of the world, Amazon does not plan to operate these computing centers on its own. Instead, AMZN plans to offer its new services through local Chinese data center operators and Internet service providers such as ChinaNetCenter and SINNET.
The move isn’t just another potential driver for AMZN stock, either. Instead, Amazon represents yet another big expansion into the China market by high-profile companies, and more fuel for a trend that I suspect will continue on for years to come.
Disclosure: At the time of this writing, Jim Woods was long AAPL, AMZN, TSLA.