The more tooling you get around the higher level products, the more whole industries you will capture, at least in part. So many startups are just services adding a bit in the middle of AWS and clients, value that is slowly chipped away by Amazon. Instead of the "full team" you now have an automated lightweight SaaS.

AWS's strategy is not looking for the one true workflow, its to envelop enough common usecases that it dominates nearly the whole field, giving you as custom a service as you want.