Amazon.com 2015 Annual Report Download - page 35

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25
as electronics and other general merchandise, increased in-stock inventory availability, and increased selection of product
offerings.
AWS sales increased 70%, 49%, and 69% in 2015, 2014, and 2013, compared to the comparable prior year periods. The
sales growth primarily reflects increased customer usage, partially offset by pricing changes. Pricing changes were driven
largely by our continued efforts to reduce prices for our customers.
Segment Operating Income (Loss)
Segment operating income (loss) is as follows (in millions):
Year Ended December 31,
2015 2014 2013
Segment Operating Income (Loss)
North America $2,751 $ 1,292 $1,166
International (91) (144)154
AWS 1,863 660 673
The increase in North America segment operating income in absolute dollars in 2015, 2014, and 2013, compared to the
comparable prior year periods, is primarily due to increased unit sales, including sales by marketplace sellers, partially offset by
increased levels of operating expenses to expand our fulfillment capacity and spending on technology infrastructure. There was
a favorable impact from foreign exchange rates of $30 million, $0, and $7 million for 2015, 2014, and 2013.
The decrease in International segment operating loss in absolute dollars in 2015, compared to the comparable prior year
period, is primarily due to increased unit sales, including sales by marketplace sellers, partially offset by increased levels of
operating expenses to expand our fulfillment capacity, spending on technology infrastructure and marketing efforts, and the
unfavorable impact from foreign exchange rates. The unfavorable impact from foreign exchange rates was $278 million, $27
million, and $70 million for 2015, 2014, and 2013. The decrease in International segment operating income (loss) in absolute
dollars in 2014, compared to the comparable prior year period, is primarily due to increased levels of operating expenses to
expand our fulfillment capacity and spending on technology infrastructure and marketing efforts, partially offset by increased
unit sales, including sales by marketplace sellers.
The increase in AWS segment operating income in absolute dollars in 2015, compared to the comparable prior year
period, is primarily due to increased customer usage and cost structure productivity, partially offset by pricing changes and
increased spending on technology infrastructure, which was primarily driven by additional investments to support the business
growth. The decrease in AWS segment operating income in absolute dollars in 2014, compared to the comparable prior year
period, is primarily due to pricing changes and increased spending on technology infrastructure, which was primarily driven by
increased usage. There was a favorable impact from foreign exchange rates of $264 million, $41 million, and $38 million for
2015, 2014, and 2013.