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Science & Technology

Amazon Reportedly Plans to Launch Paid Tier of Alexa

The media reports that Amazon plans to launch a paid tier of Alexa this month.

Amazon Reportedly Plans to Launch Paid Tier of Alexa

Journalists, citing unnamed insiders, claim that the paid tier will offer users a version of the voice assistant, which is called Remarkable Alexa. Also, according to their information, this product is based on a new technology stack. Moreover, the media reported that Remarkable Alexa will offer users more opportunities. The relevant information was made public on Tuesday, July 23.

Insider data suggests that Remarkable Alexa will include more generative artificial intelligence than the current version of the voice assistant. Also, in this case, users will be provided with more seamless control of smart home devices.

It’s worth mentioning that last December, Amazon founder Jeff Bezos said during a podcast interview that Alexa would soon become much smarter. This statement was taken as a hint at a new version of the voice assistant. The insider information released on Tuesday confirms the relevant assumption. At the same time, it is worth noting that Amazon has not yet officially announced a new version of Alexa.

Insiders claim that the company has not yet decided on the price of a paid-tier voice assistant.

The elaborating of Remarkable Alexa began with the fact that Amazon Chief Executive Officer Andy Jassy called teams to find a way to monetize the voice assistant and Echo speakers. It is worth noting that the speakers do not deliver a payoff to the company, since people use these devices to access free apps. At the same time, hundreds of millions of people own Alexa-enabled devices.

Andy Jassy’s efforts to monetize the voice assistant and other technology products are the change from Jeff Bezos’ strategy of developing devices based on so-called downstream impact. The concept of the founder of the company provided for the sale of devices at cost or a loss. The corresponding strategy proved ineffective in the context of Echo sales. In this case, the negative commercial effect is because consumers used speakers mainly to access free services, such as, for example, weather forecasts. The Echo has not become a kind of platform for placing a significant number of e-commerce orders.

An Amazon spokeswoman said in a media comment that the company’s device unit has established profitable businesses and is ready to continue moving forward in the appropriate direction. Hundreds of millions of the e-commerce giant’s devices are used by customers around the world, and there is no greater measure of success for the brand. The corresponding statement was made by an Amazon spokeswoman.

As we have reported earlier, Amazon Calls for Global Rules for Responsible AI.

Serhii Mikhailov

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Serhii’s track record of study and work spans six years at the Faculty of Philology and eight years in the media, during which he has developed a deep understanding of various aspects of the industry and honed his writing skills; his areas of expertise include fintech, payments, cryptocurrency, and financial services, and he is constantly keeping a close eye on the latest developments and innovations in these fields, as he believes that they will have a significant impact on the future direction of the economy as a whole.