What is AWS? What it is, How it Works, and Its Role in the Modern Cloud Era

Updated

November 24, 2025

Gambar What is AWS? What it is, How it Works, and Its Role in the Modern Cloud Era

Jakarta, Pintu News – Amazon Web Services (AWS) is evolving into a key foundation of modern cloud technology, used by startups to global corporations due to its scalability, reliability and vast ecosystem of services.

With business needs increasingly dependent on data, automation, and digital architecture, AWS continues to expand its innovation and plays a big role in supporting the development of blockchain, Web3, and digital transformation in various countries including Indonesia.

Here’s a thorough explanation of how AWS works, why many companies rely on it, and its latest developments in 2025.

What is AWS?

AWS or Amazon Web Services is a cloud computing platform that provides a variety of integrated services such as virtual computing, data storage, networking, security, and application development tools.

According to TechTarget, AWS works on a global infrastructure that includes data centers in different regions to ensure high availability, security, and performance in providing services to users.

AWS offers more than 200 services that can be used on a pay-as-you-go basis, including Amazon EC2, Amazon S3, and Amazon RDS. These services are designed to help businesses build and run applications without having to manage physical servers, thus accelerating the process of product innovation and development.

AWS Functions and How it Works

AWS works by leasing cloud-based computing resources to users through globally dispersed data centers. According to The Knowledge Academy, the way AWS works relies on the concept of virtualization, where physical servers are divided into small units so that users can run applications in a secure and flexible environment.

The main functions of AWS include cloud computing, data storage, database management, security, analytics and development tools. All these services are interconnected and allow organizations to manage their entire technology infrastructure through a cloud platform without the need for large hardware investments.

Why Do Many Companies Choose AWS?

Pluralsight notes that AWS is the choice of enterprises due to its long-term stability and proven scalability, enabling businesses of any size to develop applications quickly. AWS infrastructure that supports high availability allows companies to ensure services continue to run even if there is a disruption to one zone or server.

In addition, AWS offers flexible pricing models, high-level security integration, and an extensive global network so that companies can serve users from different countries with low latency. The combination of ease of use and technical support makes AWS one of the most dominant cloud platforms in the industry.

AWS Latest Innovations in 2025

The year 2025 is characterized by major developments in AI technology, cloud automation and serverless services, which are also driving new innovations at AWS. Updates include improved performance of computing services, deeper integration with artificial intelligence models, and optimization of the Zero Trust security system.

AWS is also expanding its real-time analytics and big data management services so that enterprises can process data on a massive scale more efficiently. On the other hand, AWS continues to expand new operational regions to support local regulations and accelerate global content distribution.

Also read: What is Poe AI?

AWS’ Role in Blockchain and Web3 Ecosystems

AWS plays a significant role in the evolution of Web3 through services such as Amazon Managed Blockchain, which allows users to easily build blockchain networks. With support for protocols such as Hyperledger Fabric and Ethereum , AWS is becoming one of the preferred platforms for developers of decentralized applications (dApps).

In addition, AWS provides analytics tools, hybrid decentralized storage, and serverless infrastructure that can help Web3 projects manage scalability and security. AWS’ presence in this sector accelerates the adoption of blockchain in the financial sector, logistics, and digital assets such as cryptocurrencies.

AWS in Indonesia: A Regulatory and User-Centric Cloud

AWS has expanded its presence in Indonesia with the launch of AWS Asia Pacific (Jakarta Region), enabling local enterprises to run low-latency applications and comply with national data regulations. This is important for the financial sector, government, and technology companies that are required to store customer data locally.

The existence of the Indonesian region improves application speed, security, and cost efficiency. In addition, AWS provides digital talent development programs through cloud training for universities and startups, strengthening the local technology ecosystem.

Conclusion

AWS is becoming one of the key foundations for modern businesses thanks to its flexibility, scalability and global reach. From traditional cloud services to blockchain and Web3 support, AWS continues to adapt to local market and regulatory needs. Its presence in Indonesia further expands companies’ ability to build secure, fast and industry-standard applications.

FAQ

What are the main functions of AWS for companies?

AWS provides compute, storage, security and analytics services to help companies run applications without physical infrastructure.

Why is AWS more popular than other cloud providers?

AWS excels in stability, global service availability, and a wealth of integrated features.

What are the benefits of AWS for Web3 development?

AWS provides the infrastructure to create blockchain networks and dApps, including support for Hyperledger and Ethereum (ETH).

How does AWS improve application performance in Indonesia?

The Jakarta region enables low latency and compliance with local data storage rules.

Is AWS suitable for small businesses?

Yes, because AWS uses a pay-as-you-go model that allows small businesses to pay only for usage.

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