Tech giant Amazon (AMZN) is starting to expand into AI-powered business software. Through its Amazon Web Services (AWS) unit, the company introduced new tools, such as Amazon Connect Decisions and Amazon Connect Talent, which are designed to help with tasks like logistics planning and hiring. In addition, AWS recently launched healthcare-related apps, which show that Amazon is trying to enter the workplace software market.
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New trading tool for AMZN bullsThis is happening as the business software market continues to grow. According to Gartner (IT), companies spent about $300 billion on SaaS products in 2025, yet Amazon has not been a major player in that space. However, AI is now giving it a new way to compete. In fact, Amazon’s tools use AI agents, which can actually perform tasks for users, such as running job interviews or creating forecasts automatically. As a result, Amazon believes that it can offer something more useful and efficient compared to traditional software.
Even so, this move puts Amazon in direct competition with major companies like Microsoft (MSFT), Oracle (ORCL), and Salesforce (CRM). However, Amazon says it has an advantage because it does not have older software products to protect, which allows it to focus fully on AI. Indeed, AWS stayed away from building a full suite of business tools in the past. Therefore, with strong relationships in many industries and success from products like Amazon Connect, the company now looks ready to compete more aggressively in enterprise software.
Is Amazon a Buy, Sell, or Hold?
Turning to Wall Street, analysts have a Strong Buy consensus rating on AMZN stock based on 40 Buys and two Holds assigned in the past three months, as indicated by the graphic below. Furthermore, the average AMZN price target of $289.05 per share implies 11.2% upside potential.
