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Amazon Is Making Custom AI Chips For Alexa

15 February 2018

According to a report from Emarketer released in May a year ago, Amazon dominates the voice-controlled speaker market. While one should take these speculations with a grain of salt, they could spark some worry among executives of chip companies like Nvidia and Intel. The camera maker announced its takeover by Amazon with scant details in a December 21 blog post. The latest news is that Amazon is working on creating custom chips for future Echo devices to help maintain its market lead.

The company also acquired blink, a security camera manufacturer in December previous year for an undisclosed sum.

However, Blink was not just a camera business, it owner Immedia Semiconductor, which is little-known, began in MA by former chip industry experts. Chief Executive Peter Besen and two of his co-founders came from Sand Video, which had designed chips in the early 2000s that decoded a new and improved video standard. Laptop makers were not willing to pay a per chip price of $1 when less expensive options were available. It's not like Amazon can't add the Blink security camera to its Amazon Key program.

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The report also hints that the company might be working on AI chips for AWS.

With the development of AI chips, the reliance on the cloud will be reduced and the response speed to requests and data processing will be increased.

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An Amazon TV ad for the Echo Dot, which can perform functions such as make shopping lists and play music with voice commands, features people using the device in different situations. The website for Blink has only one link to Amazon, a section that includes reviews from Amazon customers, apparently because the e-commerce giant is Blink's sales distribution channel.

Amazon's own Cloud Cam and Echo require plug-in power sources in order to work.

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On a closing basis, the scrip of PNB closed at Rs 145.80, down by Rs 15.85 or 9.81 per cent from its previous close of Rs 161.65. Besides, a mixed trend in other Asian markets following positive lead from Wall Street buoyed sentiment here.

Amazon Is Making Custom AI Chips For Alexa