Notable hardware pullbacks are experienced by both the established (Amazon with Alexa) and the newer (Meta’s Portal intelligent displays).
The Wall Street Journal reported that Amazon was “closely evaluating Alexa” as part of a cost-cutting evaluation. Amazon is currently considering whether to add additional features to Alexa. However, this would require more investment.
Some claimed that the business employs more than 10,000 people and is a significant recipient of investment capital. However, the Wall Street Journal has seen internal documents that show that Amazon’s devices unit (which includes Alexa) had an operating loss of over $5 billion in recent years.
According to the report, “many customers only use Alexa for a handful of functions.” Amazon, however, countered that Alexa interactions had increased by more than 30% over the past year. The company claims that people use Alexa to start the music, control smart home devices, and shop.
A recent report stated that Google is now focusing the development of its intelligent Assistant on essential first-party products. This contrasts with the past few years when Assistant was placed on everything. As a result, there’s been a significant pullback from Assistant Snapshot up to Driving Mod.
Google is interested in improving the user experience, such as Talk and Look and Quick Prases on Nest Hub Max. They are also Applying AI to smart-home-related commands.
Reuters and The Verge reported today that Meta is ultimately killing off its Portal bright display, even though it’s still a product for the business. The Portal was repositioned as a companion for work and home earlier this year.
This exit leaves Amazon and Google in the innovative display space, while Apple is believed to be entering. Google’s next significant move will be the pixel Tablet. It will be interesting to observe if the Assistant Smart Display functionality makes the Android tablet more attractive to consumers.
Meta is also closing two of its upcoming smartwatches after canceling its “Milan” wearable with two cameras.