Amazon’s Remarkable Alexa will reportedly run on Claude AI and cost $5-10 per month

Amazon’s next-gen “Remarkable” Alexa assistant will be powered by Anthropic’s Claude AI, cost $5-10 per month and arrive in October ahead of the holidays, five sources with knowledge of the matter told Reuters.

The company originally planned to use in-house software for the new chat assistant, but it reportedly struggled with latency issues, taking up to six or seven seconds to acknowledge a request and reply, one source said. By contrast, Claude — a rival to Google’s Bard, ChatGPT and others — performed better.

Amazon didn’t confirm the story, but said that it uses language models from partners as well as its own. “When it comes to machine learning models, we start with those built by Amazon, but we have used, and will continue to use, a variety of different models — including (Amazon AI model) Titan and future Amazon models, as well as those from partners — to build the best experience for customers,” a spokesperson told Reuters.

Since last year, reports indicated Amazon was planning to supercharge Alexa with generative AI features. Remarkable Alexa will supposedly allow complex prompts like composing and sending emails while ordering dinner, all from a single command. It will also offer upgraded home automation capability, deeper personalization and, of course, shopping advice.

The latter is key for the company, as Alexa has long been an unprofitable business. Late last year, it laid off several hundred people who were working on the voice assistant.

In September 2023, Amazon announced it had invested $4 billion in Anthropic, promising its customers early access to the AI. Earlier this year, Anthropic boasted that Claude 3 scored better than ChatGPT 4 on key benchmarks including math, coding, reasoning and knowledge.

Remarkable Alexa (still an internal codename only) reportedly won’t be offered as a Prime benefit and users may need new devices to run the upgraded AI properly. Any monthly fee is likely to be a tough sell to consumers, as Amazon will continue to offer its “classic” voice assistant for free. In any case, the company’s plans could still change if the updated voice AI fails to meet internal benchmarks, Reuters‘ sources said.