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Amazon is overhauling its devices to take on Apple in the AI era

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Amazon is overhauling its devices to take on Apple in the AI era


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When Amazon.com Inc. recruited longtime Microsoft Corp. product chief Panos Panay in 2023 to run its devices division, his new colleagues thought the e-commerce giant was preparing to take its consumer gadget line upscale.

Panay pushed back on the idea during an all-hands meeting with thousands of engineers from the Alexa, Echo and Fire TV brands. But his vision for the business didn’t come into clearer focus until this week, when the executive unveiled a suite of new products at an event in New York. The message: Panay aims to build devices that people want to show off in their homes and use—at every price tag. “The idea is putting a lot of detail into every product,” he said in an interview.

Though most of the new devices, including updated , e-book readers, home security tools, TV accessories and other offerings, do carry higher prices, the company’s more affordable products are equally key, Panay said.

“The superpower of designing for cost is such a rare talent,” he said. “When you just anchor on that and now you’re making great products and you can serve everyone—that’s how we can have an impact on the world.”

Ralf Groene, a former top designer at Microsoft who came out of retirement earlier this year to become head of design at Amazon, echoes that sentiment. “There’s lots of sophistication in the material, but we don’t want you to be like, ‘Oh, it’s so sophisticated.’ It needs to blend in.” He compares it to not noticing your shoes when you run. Or when you play the guitar and are “just into the music,” Groene said.

While Panay is thrilled with Amazon’s slick-looking new Echo speakers and Kindle e-readers, he talks most proudly about an updated $40 4K Fire TV stick—an unglamorous peripheral that lets people stream programming on their television. That product has a new operating system with improved speed and performance “on the cheapest possible 4K device,” he said.

“In my heart, that’s a great product,” Panay said, “because so many can afford that and get an incredible experience.”

Still, making more premium hardware—something Panay calls the “signature” line—to generate higher profit margins, a la Apple, is also a major part of the goal. Amazon’s hardware division has long been seen as a loss leader—with the real money coming from subscriptions and purchases made through the Alexa voice assistant.

Panay disputes that view. While the overall division continues to lose money, some product lines are profitable, and others are heading in that direction, he said.

Panay also oversees Amazon’s efforts beyond Alexa and devices, including its push into satellite internet through Project Kuiper and autonomous vehicles with Zoox. The profit drive has been a priority for the group in recent years as Chief Executive Officer Andy Jassy seeks to cut costs and reform a unit that sometimes operated as a borderline research lab.

“My belief is that our job is to make devices the next big business at Amazon,” Panay said. To accomplish that—and continue building the organization—certain levers need to be pulled to make the business more successful, he said.

The revamped devices could help. Other than the Fire TV stick, most of the new Amazon-branded hardware has a higher price tag. The latest Echo Show 8, for instance, is $80 more than the current model. And the new color Kindle Scribe is the priciest Amazon e-reader by about $200. With those higher prices, you’re also getting a much better product, Panay said. But you’re not getting an overhaul built around high-end metals or the world’s priciest fabrics.

“The first transformation is just elevating those products to the next generation of what they should be,” Panay said. “It’s just the beginning of that.”

His department’s top leaders assemble every Thursday for confidential planning discussions, and they’ve created a road map for the next three years of products, Panay said. A key first step was releasing an AI-fueled version of Amazon’s voice assistant, Alexa+, a rollout that began in March. That set the stage for a device strategy: “Great products made even better through ambient AI,” Panay said.

Though Alexa+ can run on Amazon gadgets dating back more than five years, the latest hardware is the first to include the system already installed. The devices also have new features.

The updated Echo Show—a smart speaker with a screen—combines AI with sensors to know who just walked up to the device. It then immediately displays a person’s preferences and can serve up tailored podcasts or photos. The Kindle, meanwhile, can upload a user’s notes to help fulfill Alexa queries made on speakers.

While the company is now confident enough to include Alexa+ as the default option on its new devices, the rollout hasn’t been entirely smooth. Users have complained about slow deployment, broken compatibility with some appliances and the system misunderstanding commands. Still, Panay is all in.

“This is not an easy transition,” he said, given that hundreds of millions of people use the current version. Still, “an Alexa+ home is probably the most exciting home product that I’ve ever seen,” he said.

Amazon already has double-digit millions of users running the new Alexa, which costs either $20 per month or comes free with a Prime subscription, but the company is working at full speed to improve it, Panay said. “Everybody will want it and use it,” he said, adding that it will take time to resolve kinks across every use case.

Daniel Rausch, Panay’s lieutenant in charge of Alexa and Echo, said the results are already promising: The new interface boasts two to three times more usage than the old-school Alexa—for those who have it. (The regular Alexa still has hundreds of millions of users).

In a world where people are glued to their smartphones and computer displays, Panay wants to steer Amazon users in the other direction. That means creating AI devices that work in the background and require less screen time.

But plenty of other companies are chasing that dream, including Apple, Alphabet Inc.’s Google and Meta Platforms Inc. Even Panay’s predecessor, Dave Limp, had been exploring the idea at Amazon.

For Amazon to be a true contender in this market, the company will finally need to crack the code on mobile devices. A decade ago, it tried and failed with the Fire Phone—back when Panay was at Microsoft designing tablet-laptop hybrids. The company is working on future earbuds and smart glasses that tap into Alexa, but the real win will be something entirely new that’s portable and built around AI.

“There’s an entire paradigm shift of user interfaces that’s coming—I think the way people interact with their devices is being challenged,” Panay said. “I am a firm believer in ambient AI and being able to talk to something, have that conversation wherever, whenever, however you want to. I think it’ll take different form factors to accomplish that.”

To help, Amazon acquired a startup called Bee in August. That company developed a wristband that can record a person’s day and send the user a summary to a phone app. Though Amazon didn’t discuss the idea during its product unveiling Tuesday, it aims to eventually update the device and tie it into Alexa+.

To reshape Amazon’s hardware group, Panay has brought in collaborators from his Microsoft days, as well as veterans from Amazon itself. The team includes Aidan Marcuss, who worked on Windows until last year and now heads Amazon’s TV business, as well as J Allard, the co-inventor of Xbox who now leads a team focused on new form factors.

Ring creator Jamie Siminoff, meanwhile, returned earlier this year. Perhaps the most significant addition is the German-born Groene, who left his Microsoft role when Panay exited.

When Groene joined Amazon eight months ago, his first order of business was bringing all of the company’s designers—across hardware, software and user experience—under one roof. That created a structure similar to the way Apple develops its products.

Before the shift, design was implemented on a product-by-product basis by individual product managers. While this structure allowed for efficient product creation, there were silos that prevented teams from building on one another’s achievements, Groene said. It also yielded a slate of mostly utilitarian products that, aside from the Amazon smile logo, shared few common design traits.

Two other major changes: involving design from day one of the product process and making rapid prototyping a core part of development. Rausch, who has worked in Amazon’s devices division since 2009, said the biggest change is that sketch artists, prototypers, material scientists and engineers now work together from the start.

“Bringing it all together much sooner, iterating on the product much sooner, setting the bar higher much sooner lets you end up with something much more complete and just frankly better,” he said.

Amazon is launching its new products just weeks after Apple rolled out new iPhones—some of the company’s biggest updates in years—proving that this decades-old form factor is here to stay.

Meanwhile, Meta released new smart glasses with a display, showing that companies outside of Apple are eager and capable of introducing entirely new categories of devices.

OpenAI also looks to become a contender in mobile hardware, with ex-Apple designer Jony Ive working on a bevy of new AI-centric gadgets.

For Amazon to become a true leader in devices, it will need breakthroughs that go beyond its current lineup. It will also need to convince users that Alexa+ and its AI is worth paying for—lest they revert to or downgrade to the old version of Alexa. In any case, it will take years for the company’s strategy to take shape, Groene said.

“It’s really a journey,” he said. “In 12 months, you’ll see the story one step further, but it’s still not the full picture. It’ll take its time.”

2025 Bloomberg L.P. Distributed by Tribune Content Agency, LLC.

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Apple’s Price-Friendly iPhone 17e Gets a MagSafe Upgrade

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Apple’s Price-Friendly iPhone 17e Gets a MagSafe Upgrade


Apple’s first hardware launch of 2026—not counting the second-generation AirTag it debuted at the end of January—is the next iteration of the price-friendly iPhone: the iPhone 17e. The company announced the handset via an online press release, ahead of its “Special Apple Experience” in New York City this Wednesday.

While last year’s iPhone 16e was widely criticized for its questionable value—it replaced the iPhone “SE” models from yesteryear and jacked the price up from $429 to $599—the newer model in the series has some notable features that were missing in its predecessor, like Apple’s MagSafe technology and the Dynamic Island. The price remains firm at $599 despite the challenging economic environment and the memory shortage.

The iPhone 17e opens for preorder today and will be widely available on March 11.

E for Effort

Apple has stuck with the same 6.1-inch OLED display as the iPhone 16e, down to the same old-school notch design. That means you won’t get the sleek look of the Dynamic Island, which also doubles as a live notifications display. Thankfully, if you’re worried about durability, this iPhone has the same Ceramic Shield 2 front glass protecting the display as its pricier siblings, giving it a nice strength boost from the previous generation.

Apple did not upgrade the screen with its ProMotion refresh rate tech, as it’s stuck at 60 Hz. This capability is the number of times the screen refreshes with images—the higher the better, as your display will appear smoother, with interactions feeling more fluid. It’s something the company has offered in the iPhone Pro models, and finally enabled in 2025 with its entire iPhone 17 range, but you’ll have to upgrade for the luxury. It’s a shame, as most budget Android phones offer 120 Hz as standard, even devices as cheap as $200. That also means the iPhone 17e doesn’t have the option to enable an always-on display.

Arguably, the best upgrade is the addition of MagSafe, the magnetic ring that has been embedded in the back of mainline iPhones since the iPhone 12. Apple confusingly didn’t include it with the iPhone 16e despite a healthy accessory market that would have made the iPhone 16e a little more versatile. While the 16e still had basic wireless charging, with the iPhone 17e, you can take advantage of faster magnetic wireless charging at 15 watts (plus access to MagSafe accessories).

This iPhone is powered by the A19 chipset, which debuted on the iPhone 17, though there’s one less graphics core, so graphics performance is a small step below. That’s in line with what Apple did with the iPhone 16e and the iPhone 16 that came before. Apple didn’t share RAM details yet, but it’s likely that the iPhone 17e has 8 GB of RAM like its predecessor, whereas the rest of the iPhone 17 lineup has 12 GB.

Courtesy of Apple



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A Former Top Trump Official Is Going After Prediction Markets

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A Former Top Trump Official Is Going After Prediction Markets


Mick Mulvaney wants to be clear: He really likes gambling. “You’re talking to the only former member of Congress who’s won a poker tournament in Las Vegas,” he tells WIRED. When he was representing South Carolina in the US House of Representatives, he pushed for the state to allow sports betting.

Because of his background, Mulvaney, a former Trump administration official, says he can tell when something is gambling—and that the sports contracts on prediction markets fit the bill. “You know the old saying, if it walks like a duck and quacks like a duck, it’s a duck?” he asks. “If it looks like a sports bet, if it sounds like a sports bet, if it pays off like a sports bet, if it’s on a sporting event—it’s a sports bet.”

Mulvaney, who was President Trump’s acting White House chief of staff from 2019 to 2020, is now leading a new advocacy coalition called Gambling Is Not Investing, which will lobby for prediction markets to be regulated by state gambling laws. He joins a number of other prominent Republicans calling for similar rules. Earlier this month, former New Jersey Governor Chris Christie and current Utah Governor Spencer Cox both spoke out against the current federal approach to regulating prediction markets. (Christie also used the “quack like a duck” line.)

These developments are part of a fierce political battle over how prediction markets are regulated. On the federal level, the Commodity Futures Trading Commission (CFTC) oversees these platforms, which are currently classified as derivatives markets. While a traditional sportsbook will offer customers a chance to place a bet on which team will win or lose a game, a prediction market will offer an “event contract” on the outcome. Critics view the difference as little more than a loophole, and state authorities from across the country are currently pursuing lawsuits against prediction market companies like Kalshi, alleging that they violate state gambling laws. (While these markets offer event contracts on a wide variety of topics, sporting events are their most popular offerings.) “I love the CFTC, but they’re not set up to do this,” says Mulvaney.

Recently, a group of 23 Democratic Senators sent the CFTC a letter urging it to allow these court cases to play out. It did not appear to go over well; CFTC head Michael Selig insists that prediction markets are correctly classified, and that his agency has jurisdiction over the industry. After Selig released a video promising to see those who “challenge our authority” in court, the CFTC even took the unprecedented step of filing a brief in support of the cryptocurrency platform Crypto.com, which faces a lawsuit from Nevada regulators over its prediction market offering.

During the Biden Administration, the CFTC took a notably different approach to prediction markets, even fining Polymarket $1.4 million for failing to register as a derivatives market and temporarily blocking it from operating in the US.

Now, though, the agency’s friendlier approach appears to dovetail with the White House’s interest in the industry. The Trumps have numerous ties to the prediction market world. Truth Social, the social media platform majority-owned by President Trump and his family, is planning its own prediction market offering, reportedly called Truth Predict. Donald Trump Jr is an advisor to both Kalshi and Polymarket, and his venture capital firm has invested in the latter.

But the launch of Gambling Not Investing demonstrates that there is a growing wing of the Republican party that feels the prediction markets need more guardrails. Its founding member organizations include a number of conservative consumer advocacy groups, including Moms for America, Consumer Action for a Strong Economy, and Frontiers of Freedom.

Mulvaney is hopeful that he can make his case to the current White House. “Their default position is going to be to regulate less, not more. And I respect that,” he says. “But I also know that in the first Trump administration, when there were common sense reasons to do some regulation, that we did that.”



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When the Internet Goes Dark, the Truth Goes With It

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When the Internet Goes Dark, the Truth Goes With It


Alaqad says that because traditional media outlets pick and choose what to show their audiences, losing on-the-ground journalists means losing parts of the truth. “When the people are being silenced and censored, and they don’t have a space for them to talk or a platform to express what’s happening, and for us to see what’s happening through their eyes, there will always be limitations [on] how much we know,” she says.

In every crisis, when communication breaks down, accountability is lost and injustice becomes easier to ignore. “Injustice is super loud,” Alaqad says. “Justice needs to be louder.”

Targeted

Journalists are also silenced permanently. Reporters Without Borders (RSF) wrote in December 2025 that 67 media professionals were killed that year, 43 percent of whom were killed in Gaza by Israeli armed forces. The total number of journalists killed in Gaza since October 7, 2023 has risen to over 220, according to the RSF. The UN estimate sits at more than 260.

“When we look at it within the framework of imposing a ban on the foreign press entering Gaza now, more than two years into that war, when they are restricting the free movement of journalists within Gaza and into Gaza, when we are talking about an unprecedented massacre of journalists, the targeting of media offices and the targeting of communication infrastructure just becomes another piece of that puzzle, which aims at imposing a media blackout,” Dagher says. Israel has repeatedly denied claims that it targets journalists or media infrastructure.

“Killing journalists means killing and silencing the truth,” Alaqad says. In her experience, this strategy works on multiple levels—killing journalists means fewer people reporting on the ground, but equally, it turns journalists into a threat to the people. “This is also sending a message to the people that all journalists are a threat, don’t talk to journalists, stay away from journalists,” she explains.

She recalls her mother begging her not to wear her press vest and helmet. Meant to signify neutrality and protect journalists in the field, instead, it made her feel like a target. “It’s supposed to protect, but on the contrary, it actually puts risk on your life and even on your beloved ones and the ones around you,” she explains.

Alaqad says it was not always this way. Early on, people would greet journalists, offer them food, and thank them for their work. “After a couple of months, when they’d seen journalists getting targeted, Palestinians started treating journalists differently,” she says.

To report in Gaza was to work inside a landscape where time itself was unstable and not guaranteed. Plans rarely extended beyond daylight. Conversations ended abruptly. Addresses became memorials overnight. “The only certainty in Gaza is uncertainty,” Alaqad says.

She recalls interviewing families and planning to return the next day, only to find that the people she spoke with had been killed in airstrikes.

She has since left Gaza, and is pursuing a master’s degree in media studies at the American University of Beirut. She received the Shireen Abu Akleh Memorial Endowed Scholarship, named for the Palestinian journalist killed by Israeli forces in May 2022.

Digital Truths

Going viral on social media helped her reach people, but it also put her at risk. “It showed millions of people around the world what’s happening in Gaza, but at what cost? Being in Gaza could cost you your life, especially as a journalist,” she says.

Despite the reach of digital reporting, she does not trust its permanence. Accounts disappear, posts are removed and videos are lost. What is available today may be gone tomorrow.



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