Amazon will go bankrupt one day, CEO Jeff Bezos tells employees

Marco Green
November 17, 2018

Amazon will go bankrupt.

"The governor and the mayor have made a decision to throw Jeff Bezos nearly $3 billion in subsidies and tax breaks - and throw in a helipad so he doesn't have to take the damn 7 train", said city councilman Jimmy Van Bramer. The employee, as CNBC News points out, wanted to know the lessons the company's visionary founder had learnt from recent turmoil in the retail sector, particularly the bankruptcy of American department store chain, Sears.

To postpone the end of the company's lifespan, Bezos argued that Amazon needs to focus its energy on its customers, rather than worrying too much about the internal dynamics at play. "If you look at large companies, their lifespans tend to be 30-plus years, not a hundred-plus years", he said, days before the company announced its plan to venture into Queens.

Bezos said that the goal was to delay the inevitable for as long as possible - and that the way to do that was to focus on customers. "We have to try and delay that day for as long as possible", he said.

Bezos' comments surfaced shortly after the company announced it will open offices in Long Island City and the Virginia suburbs of Washington, DC. The HQ2 initiative is expected to bring in another 50,000 employees, adding to its more than 600,000-person strong workforce that has grown by over 20-fold in just eight years.

During a previous all-hands meeting in March, Bezos was asked whether tech companies like his must be more closely regulated due to their market power and influence.

"It's a fact that we're a large company", Bezos said in the recording heard by CNBC.

The remarks come several months after Bezos responded to concerns that President Trump has it out for the company and government regulation could be Trump's answer to curbing Amazon.

But some Amazon employees worry about the rate at which the business is growing. "It's reasonable for large institutions of any kind, whether it be companies or governments, to be scrutinised". If a company wants to last over a hundred years, Bezos stated at the same all-hands meeting that he believes alcohol is key, "Most of the companies that are multi-hundred year old companies are breweries".

Other reports by Click Lancashire

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