The previously announced generative AI version of Amazon's Alexa voice assistant “will be powered primarily by Anthropic's Claude artificial intelligence models,” Reuters reported today. This followed problems using proprietary models, according to the publication, which cited five anonymous people “with direct knowledge of the Alexa strategy.”
Amazon unveiled a generative AI version of Alexa in September 2023, touting it as more advanced, conversational, and powerful, including the ability to perform multiple smart home tasks with simpler commands. Gen AI Alexa is expected to come with a subscription fee, as Alexa has reportedly cost Amazon tens of billions of dollars over the years. Previous reports suggested the updated voice assistant would launch in June, but Amazon has not yet confirmed an official release date.
Now, Reuters reports that Amazon will no longer use its own large language models as the main drivers for the new Alexa. Previous versions of the AI-generation Alexa, which were based on Amazon's AI models, “had trouble with words and sometimes took six or seven seconds to confirm and respond to a prompt,” Reuters said, citing one of its sources. Without providing details on the versions or features used, Reuters sources said Claude outperformed proprietary software.
In a statement to Reuters, Amazon did not deny using third-party models, but claimed that its own technology is still part of Alexa:
Amazon uses many different technologies to power Alexa.
When it comes to machine learning models, we start with those developed by Amazon, but we have used and will continue to use a variety of different models to create the best experience for customers – including Titan (the Amazon AI model) and future Amazon and partner models.
Amazon has invested $4 billion in Anthropic (UK regulators are currently investigating it). It is uncertain whether Amazon's large investment in Anthropic means Claude will be free to use on Alexa. Anthropic declined to comment on the Reuters report.
The new Alexa could be delayed
On Monday, the Washington Post reported, citing internal documents, that Amazon plans to launch the new Alexa in October, but Reuters sources claimed that this date could be pushed back if the voice assistant fails to meet certain unspecified internal benchmarks.
According to the documents, the Post said the Alexa AI could cost up to $10 a month. That's consistent with a Reuters report in June that said the service would cost $5 to $10 a month. The Post said Amazon will decide on the price and name in August.
But it will be difficult to get people to open their wallets for a voice assistant that is already considered free (the free version of Alexa is expected to remain available even after the subscription version is released). Some Amazon employees question whether people will really pay for Alexa, Reuters noted. Amazon faces an uphill battle with generative AI, as it is seen as Alexa's last chance in the face of major competition and the leading edge of other AI offerings, including free ones like ChatGPT.
In June, analysts at Bank of America estimated that Amazon's Alexa AI could generate annual revenue of $600 billion to $1.2 billion, depending on final monthly pricing, assuming that 10 percent of the estimated 100 million active Alexa users (Amazon says it has sold 500 million Alexa devices) will switch to the device. However, analysts noted that free alternatives would hurt adoption rates.
The Post's Monday report said the new Alexa will try to attract subscribers with features like AI-generated news digests. This Smart Briefing feature will reportedly share summaries based on user preferences on topics like politics, though the original Alexa previously struggled to report accurate election results. The publication also said the AI-generation Alexa will include “a chatbot for kids” and “conversational shopping tools.”