They had the infrastructure and muscle to put a dent into Google Search and Microsoft Enterprise software... but instead they've ceeded to OpenAI and Anthropic.
They had a bridgehead device of the type that OpenAI are struggling to create with Jonny Ive in Alexa... but nothing seems to be happening with Alexa now.
If Microsoft couldn’t compete with Google in search, how could Amazon? Even if the search were better, how do you get people to switch to it if Google is the default everywhere? Besides Alexa was losing billions when it was backed by the relatively cheap to run Amazon Lex pattern matching service. It would have lost more being backed by an LLM and it actually got worse from all indications.
How much of the search market will Agents or Chatbots take?
Google clearly believe : a chunk.
People switched to GPT and Claude...
Amazon risk becoming logistics and datacenters, what's wrong with that you ask? Well, it's not where the money is. The money is in the website and the application layer.
And how much of this switch do you think will happen as long as Google is the default search engine for every major browser and every major smartphone outside of China?
Even if “agents” aren’t overhyped, why would someone switch to Amazon instead of just using Google’s offerings?
Google has reported record revenues even after the advent of LLMs and have integrated AI overviews and a separate chat tab.
They had a bridgehead device of the type that OpenAI are struggling to create with Jonny Ive in Alexa... but nothing seems to be happening with Alexa now.