Dark future for Amazon Alexa

Amazon’s digital assistant Alexa could be a huge failure that has reportedly caused huge losses for the company.

A report published by the publication Business Insider shows that Amazon’s division that works with Alexa, among other things, made a loss of three billion dollars in the first quarter of the year, and is expected to make a loss of ten billion dollars in 2022. Alexa is said to be the main reason for these losses, as Amazon has failed to monetize the service. In addition, smart speakers and other devices are said to have been sold at a loss as the idea behind the business model was to make money from services and the use of Amazon’s devices, which, if the numbers are correct, has not succeeded.

According to rumors, Amazon is said to be cutting its workforce by approximately 10,000 employees, with a majority of the cuts reportedly affecting the departments that work with Amazon’s own devices, including Alexa.

The Alexa assistant has also not done particularly well even on its own home turf in the US, where it is said to be only the third largest assistant with 71.6 million users after Google Assistant with 81.5 million and Apple’s Siri down 77.6 million.

Source: Mobil by www.mobil.se.

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