Earlier quoted context omitted.
Revenue is meaningless, profitability is the important thing. Amazon was net income 0, but it was always enormously profitable, it immediately spent that money on growth. RedHat wasn't really that profitable. Sure it also spent billions on growth, but Amazon spent hundreds of billions on growth. (Sure, Amazon is a conglomerate, from books to gadgets to groceries to basically everything and the biggest digital infrast…
I'm not quite sure I agree with your words here; generally speaking, net income is profit (accounting profit, to be precise -- there are other profits but we normally talk about accounting profit). Secondly, revenue is super not meaningless! It's the capacity for you to be profitable! Amazon had 0 net income but were able to spend money on growth because they had revenue, and were able to classify their R&D as an exp…
RedHat is big, it has a lot of revenue, but it also has a looot of expenses too. Hence it's profitability is low. Whereas Amazon is a lot more profitable (even if it had no accounting profit), and that's exactly how it grew this big.
If RH were this profitable it would have probably also grown bigger too.
Of course some business models, sectors are truly niches, and you can't grow arbitrarily big. RH probably suffered from this to a degree. Selling Linux support is a niche market compared to selling almost everything that can be shipped in boxes. Of course both Amazon and RH are survivors of the early 2000s big boom-bust cycle, so probably there's a big survival bias and chance/luck at play here, so it's probably not right to say that RH should have expanded to bigger markets. (How come "AWS" is not a RH thing? It's likely that Amazon's extreme "black friday" scaling challenge it not unique to them, yet they were the ones able to successfully capitalize on this.)