Amazon to Launch New AI-Powered Alexa Using Anthropic's Claude

Amazon is set to release a revamped version of its Alexa voice assistant this October that will be powered by AI models from Anthropic's Claude, rather than Amazon's in-house AI technology, reports Reuters.

amazon echo dot

Amazon's Echo device with Alexa

The decision to use Claude's AI models comes after Amazon's internal software reportedly struggled with performance issues during initial testing. Sources who spoke to Reuters claim that early versions using Amazon's own AI had difficulty responding promptly, sometimes taking up to 6-7 seconds to acknowledge and reply to prompts.

This new AI-enhanced "Remarkable" Alexa is expected to offer more advanced capabilities compared to the current version. Users will reportedly be able to engage in more complex, context-aware conversations with the assistant.

Some potential features include providing shopping advice for specific scenarios like vacation clothing recommendations, aggregating news stories, executing multi-step tasks from a single prompt such as ordering food or drafting emails, and enhanced home automation with improved ability to remember and apply user preferences.

Amazon plans to offer this upgraded "Remarkable" Alexa as a paid subscription service, with pricing anticipated to be between $5 to $10 per month. In other words, it won't be included in existing Prime memberships. The existing "Classic" Alexa service will remain available for free.

The move to partner with Anthropic for AI technology contrasts with Amazon's typical strategy of relying on in-house developments, but similar partnerships such as Microsoft and Apple's collaborations with OpenAI for ChatGPT integration indicate a broader shift in the tech industry.

Amazon has invested $4 billion in Anthropic, which may have influenced this decision, but the full details of the agreement between the two companies regarding the use of Claude in Alexa have not been disclosed.

Industry analysts estimate that there are approximately 100 million active Alexa users. If 10% of these users opt for the paid version, it could potentially generate at least $600 million in annual revenue for Amazon, assuming the lower end of the expected price range.

The launch of this new Alexa comes at a critical time for Amazon's voice assistant division. Despite Alexa's widespread adoption, with Amazon claiming 500 million Alexa-enabled devices sold, it has struggled to generate significant revenue. Amazon's leadership has reportedly emphasized that 2024 is a crucial year for Alexa to demonstrate its ability to drive meaningful sales.

While Amazon has confirmed its use of various AI models, including its own Titan model and those from partners, it has not specifically commented on the use of Claude for the new Alexa. The official unveiling of the new AI-powered Alexa is expected to take place at Amazon's annual devices and services event, typically held in September.

Popular Stories

Whatsapp Feature

WhatsApp to Drop Support for These iPhones Starting May 2025

Monday December 2, 2024 2:57 am PST by
WhatsApp is set to end support for iOS versions older than iOS 15.1 from May next year, removing the chat platform's compatibility with several iPhone models in the process. From May 5, 2025, WhatsApp will no longer be compatible with iPhone 5s, iPhone 6, and iPhone 6 Plus models. Users with those devices won't be able to access the encrypted chat service after the specified date unless they ...
Apple AI Command Center Concept Mock 3

Apple Expected to Launch This All-New Device Next Year

Wednesday November 27, 2024 1:05 pm PST by
Apple is expected to kick off 2025 by launching an all-new smart home hub, also referred to as a "command center," as early as March. The hub is expected to feature around a six-inch display that can be attached to a tabletop base with a speaker, or mounted on a wall. The device is said to run a new "homeOS" operating system with a customizable widget-focused home screen, and it is expected...
New Things Your iPhone Can Do in iOS 18

18 New Things Your iPhone Can Do in iOS 18.2

Wednesday November 27, 2024 5:05 am PST by
Apple is set to release iOS 18.2 in early December, bringing the second round of Apple Intelligence features to iPhone 15 Pro and iPhone 16 models. This update brings several major advancements to Apple's AI integration, including completely new image generation tools and a range of Visual Intelligence-based enhancements. There are a handful of new non-AI related feature controls incoming as...
iphone 16 pro models 1

12 Reasons to Wait for Next Year's iPhone 17

Friday November 29, 2024 5:17 am PST by
Apple's iPhone development roadmap runs several years into the future and the company is continually working with suppliers on several successive iPhone models simultaneously, which is why we sometimes get rumored feature leaks so far ahead of launch. The iPhone 17 series is no different – already we have some idea of what to expect from Apple's 2025 smartphone lineup. If you plan to skip...
airpods pro 2 gradient

AirPods Pro 3 Expected Next Year: Here's What We Know

Thursday November 28, 2024 3:30 am PST by
Despite being released over two years ago, Apple's AirPods Pro 2 continue to dominate the wireless earbud market. However, with the AirPods Pro 3 expected to launch sometime in 2025, anyone thinking of buying Apple's premium earbuds may be wondering if the next generation is worth holding out for. Apart from their audio and noise-canceling performance, which are generally regarded as...
Flip iPhone Thumb 1

Apple's 2026 Foldable iPhone Could Reinvigorate Stalling Market

Monday December 2, 2024 4:04 pm PST by
The foldable smartphone market has stalled with customer interest in foldables waning, but that could change when Apple debuts a foldable iPhone, according to display analyst Ross Young. In a report on the current foldable smartphone market, Young says that Apple is expected to "enter the foldable market" in the second half of 2026. Apple's "dominant position in flagship smartphones" could...
iPhone 17 Pro Dual Tone Rectangle Feature 1

iPhone 17 Pro Already Rumored to Have These 8 New Features

Wednesday November 27, 2024 12:19 pm PST by
While the iPhone 17 Pro and iPhone 17 Pro Max are not expected to launch for 10 more months, there are already plenty of rumors about the devices. An imaginative iPhone 17 Pro concept based on rumors Below, we recap key changes rumored for the iPhone 17 Pro models so far: Aluminum frame: iPhone 17 Pro models are rumored to have an aluminum frame, whereas the iPhone 15 Pro and iPhone 16 Pro ...

Top Rated Comments

abatabia Avatar
14 weeks ago
Way way way too many subscriptions.
Score: 18 Votes (Like | Disagree)
McWetty Avatar
14 weeks ago
I don’t see another subscription like this succeeding (to the decree they need it to). They would find more success raising the price of prime $10/yr and making remarkable prime only.

Same would be true for Apple charging for a better Siri by rolling it into iCloud One. People are already burdened by too many subscriptions; an AI bot sub isn’t going to fly far.
Score: 10 Votes (Like | Disagree)
honglong1976 Avatar
14 weeks ago
Old AI model - Alexa turn on light
New AI model - Alexa turn on light

Seems pointless to me.
Score: 10 Votes (Like | Disagree)
Pezimak Avatar
14 weeks ago

Old AI model - Alexa turn on light
New AI model - Alexa turn on light

Seems pointless to me.
Probably be more like:

Old AI model - Alexa turn on the light - Ok
New AI model - Alexa turn on the light - Ok, by the way your bulbs lifespan has only 10 hours left, would you like me to order some more at £4 each?
Score: 9 Votes (Like | Disagree)
emmab2006 Avatar
14 weeks ago
Anyone else fed up of AI Yet ?... its not even AI its machine learning. what we consider AI does not exist yet... ugh... enough of this gimmicky crap.
Score: 8 Votes (Like | Disagree)
contacos Avatar
14 weeks ago
so they gonna charge for something based on another companies AI work?

Big NOPE
Score: 4 Votes (Like | Disagree)