New Amazon Alexa Powered by Anthropic’s AI to Launch in October

Amazon is set to unveil a major upgrade to its Alexa voice assistant in October, just in time for the holiday season, according to insiders familiar with the matter (via Reuters).

This new version of Alexa, internally referred to as “Remarkable,” will be powered predominantly by Anthropic’s Claude artificial intelligence (AI) models, marking a shift away from Amazon’s reliance on its proprietary AI technology.

The decision to integrate Claude into Alexa came after Amazon’s in-house AI software struggled to deliver the desired performance. Initial trials revealed that Amazon’s AI was slow to respond, sometimes taking up to six or seven seconds to acknowledge and reply to user prompts.

In contrast, Anthropic’s Claude demonstrated superior efficiency, prompting Amazon to make the switch, according to five sources with direct knowledge of the strategy.

The revamped Alexa, which is expected to be showcased at Amazon’s annual devices and services event in September, will be available in two versions. The “Classic” version will remain free, while the new “Remarkable” version will carry a subscription fee ranging from $5 to $10 per month.

This paid version will leverage generative AI to handle more complex queries and offer advanced features, including enhanced shopping advice and the ability to carry out sophisticated tasks such as drafting emails and ordering food with a single prompt.

The introduction of a subscription-based Alexa is part of Amazon’s broader strategy to monetize its voice assistant, which has struggled to generate significant revenue through its current functionalities.

The company hopes that the new capabilities offered by the Remarkable version will attract users willing to pay for a more powerful and interactive experience.