Amazon is planning an update of its decade-old Alexa service, aiming to add a premium version with conversational generative AI features and a potential monthly $5 subscription fee.
According to a report by Reuters, the upgraded "Remarkable Alexa," version is in development, with a target completion date of August. Launch plans for the updated Alexa, may change or be canceled based on the project's progress. Amazon hopes the integration of AI will encourage customers to seek more personalized and proactive shopping assistance from Alexa, according to Reuters.
Some employees involved in the project view it as a last-ditch effort to revive the struggling service in the face of competition from other generative AI products in recent years. According to Reuters, the Alexa technology has failed to prove profitable for Amazon since its inception. Senior management has reportedly informed Amazon staff that 2024 is a crucial turning point for Alexa to prove its ability to boost sales at the company.
Amazon is weighing two price points for the potential premium service: a $5 and a $10 monthly fee. The envisioned premium version could execute more complex tasks, such as writing and sending emails and ordering food delivery with a single command. According to Reuters, the feature would remove the need for users to repeatedly say "Alexa" during interactions and provide greater personalization.
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