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Amazon’s long-expected generative AI version of Alexa will reportedly use Anthropic’s Claude as its base.
Reuters sources also claim the new version, nicknamed “Remarkable,” will arrive in October at a previously rumored price between $5 to $10 per month. The existing “Classic” version using in-house AI would remain free.
Amazon reportedly wanted to use its own AI model for the new Alexa, but one source said it took “six or seven seconds” just to recognize a command and reply. Claude performed better, the insiders added.
In a response to Reuters, an Amazon spokeswoman said the company uses “many different technologies” for Alexa and that it has been using a “variety” of machine learning models that include its own as well as those from outsiders.
Anthropic declined to comment. The insiders cautioned that Remarkable could still be delayed if
Amazon previewed a generative AI version of Alexa in September 2023. It was supposed to provide more natural interaction, more advanced control (such as creating routines entirely by voice), and context-aware conversations. Little happened in the following months, however.
Reuters contacts had heard last fall that 2024 would be a make-or-break year for Alexa. The division is said to still be unprofitable long after its inception, as customers generally don’t use it to make purchases like Amazon hoped. Remarkable ideally helps Amazon turn a profit and compete with Google’s Gemini, OpenAI’s GPT-4o and soon Apple Intelligence.
The use of Claude isn’t surprising when Amazon is a major investor in Anthropic, having promised $4 billion for the company last year. Whether or not it succeeds isn’t clear. Amazon staff are reportedly skeptical that customers will pay at least $60 per year just to use Alexa with Claude. Apple Intelligence, the standard versions of Gemini, and other models are often free.
There’s also the matter of regulation. The UK’s Competition and Markets Authority (CMA) is investigating Amazon’s Anthropic funding as part of a larger worry that big tech giants might be skirting antitrust law through large investments and non-controlling stakes. If the CMA and other regulators find problems, they could require changes that block or delay a Claude-based Alexa upgrade.
