The world is increasingly digital. Mobility, cloud, virtualization, automation, the Internet of Things and cognitive computing can all be leveraged to create competitive advantages for the organizations that embrace them. Digital transformation enables modern enterprises to respond efficiently to changing business demands.
The future of retail is still very much in flux -- and several major retailers are still stumbling through their digital transformations -- but Amazon on Friday released some stats to suggest it's not the problem. If anything, Amazon seems to be saying, it's helping small and medium-sized retailers thrive. Specifically, the e-commerce giant announced that in 2018, more than 50,000 SMBs exceeded $500,000 in sales in Amazon's stores worldwide. Nearly 200,000 surpassed $100,000 in sales, while the number of SMBs that surpassed $1 million in sales grew by 20 percent in 2018. On Prime Day, the company says, SMBs exceeded $1.5 billion in sales.
Hewlett Packard Enterprise (HPE) announced in 2019 that it would go through its own company transformation, transitioning from a legacy information technology (IT) enterprise to become the edge-to-cloud company. To accelerate this cloud services business evolution, and break down siloes in our own organization, HPE created the Transformation Office (TO) to bring disparate interests together towards one goal, focused on evaluating and helping to resolve misalignment and roadblocks along the way. The TO brings together the executive committee, communications, business units and human resources on the journey, and aligns all the business functions to their role in the transformation.
In the past, when I've spoken to clients about cloud computing, those conversations were mostly with line-of-business managers focused on cutting costs and getting new, customer-facing applications up and running quickly. Today, the tide has turned, as chief executives and other line leaders want to know how cloud computing can help them transform their entire business, create new models and spur innovation. While much of the attention in cloud has been focused on public infrastructure deployments, that is only part of the overall story. Now those conversations reflect an intense interest in digital transformation through open, industry-specific hybrid cloud solutions that deliver higher value with analytics and cognitive capabilities. Overwhelmingly, what we are hearing from clients and the market is the need for a clear path to extend the significant IT investments they have made by leveraging new, innovative cloud services, while ensuring their data is protected.
Compunnel Digital is driven to create and deliver business value by orchestrating a seamless experience for our clients. COVID has affected our interactions, our buying methods, and even our previous business models. In a couple of months, we were moved towards more progress than in all recent years in the digital transformation of businesses. Where is the new road going to take us? We cannot be entirely certain, but in 2021 these trends in digital transformation are likely to be relevant.