Amazon’s smart products dominate the market even as business confidence lags

An Echo Show Kids device keeps track of the time. Children’s and privacy advocates have questioned the addition of electronic eyes and ears in children’s homes.

Dale Smith / CNET

Amazon revealed Tuesday New Ring and Products powered by Alexa which will undoubtedly bring new levels of comfort to the homes of users. What is perhaps more remarkable than the products, however, is the resilience of the company’s device sales given its struggling reputation among business and tech watchdogs.

Read more: Amazon Echo and Ring event showed the Halo View Fitness Tracker

During its product event, Amazon took care to address its lagging representative. “Privacy is at the heart of everything we do,” said Dave Limp, who heads the company’s device and service operations, at the start of an hour of non-stop product launches that included the Astro robot powered by Alexa voice assistant. The robot is designed, according to Amazon, to respect privacy and can be set to no-go areas for the device.

Perhaps Amazon’s biggest privacy development: treatment on the device for its Echo Show 15. That means you’ll have the choice of having the Alexa-powered smart display recognize your face and give you personalized options without sending all that data to Amazon’s cloud.

The privacy improvements come as Amazon reaches out to a multitude of privacy and security, in particular with its Ring range of security cameras. To resolve the issues, Amazon has built in features that protect users home cameras from hackers, encrypt the data passing through Amazon’s servers prevent the company from having access and add transparency In regards to how he associates with the police services.

Echo, the Alexa-equipped line smart speakers, also raised privacy concerns. Always attentive, the speakers raised questions about which monitors voice recordings and how purged your chat recordings with Alexa are Amazon systems after deleting them. In response, Amazon changed the functionality to allow users to turn off human monitoring of conversations and increased the ability for users to delete both recordings and transcripts of their conversations with Alexa. More generally, the devices have stimulated privacy experts to warn that they could violate children’s privacy laws and that parents should think carefully before introducing new levels of supervision in children’s homes.

However, none of these concerns seem to have affected the popularity of Amazon’s Ring and Echo lines, as well as its Halo fitness trackers and Fire TV streamers. The e-merchant does not divide product sales into his profits, but he occupies dominant positions in some Smart home product categories. The Echo line basically created smart speakers and held more than 28% of the world market in 2020, followed by from google devices, and 70% of the American market from 2019. Security cameras ring market leader, followed by Arlo products. from amazon TV fire is the most popular media streaming stick, with more than 12% competitive market.

“We are focused on improving the lives of customers by creating devices and services that help us stay connected to the people and things that matter most,” an Amazon spokesperson said in a prior statement. the event. The statement said customers are transparent about the company’s technologies and “control their experience.”

Now playing:
Check this out:

Amazon’s biggest fall event announcements


Part of the appeal to consumers is the price. Amazon offers practical and functional products without the premium Apple charges. Like Apple’s products, Amazon’s products – whether made in-house or by manufacturing partners – integrate seamlessly with each other. They are also benefiting from the huge and loyal Prime subscription customer base, which, along with other subscription services, brought Amazon nearly $ 8 billion in revenue in the second quarter of 2021.

The combination is hard to beat, whether you’re another tech company or a privacy advocate warning consumers to be careful.

“It’s easy to sell new things to people when they’re already buying regularly and when you have their email information and shipping history,” said Michael Pachter, analyst at WedBush.

Amazon’s devices aren’t his only cause of controversy. The company has also come under scrutiny from labor rights advocates and antitrust regulators for its dominance of the US e-commerce and cloud sectors and for his treatment of frontline workers, who fill orders on the Amazon website. Business the employees alleged racial and gender workplace discrimination, in addition to organizing a walkout on Amazon’s impact on the environment.

The public is in conflict over the company, opinion polls show. Amazon is loved by 68% of respondents to the US survey, according to YouGov, and hated by 15%. But more than half of Americans polled by the Pew Research Center recently said big tech companies should face more regulation, and 68% of those polled said the tech titans have too much “power and influence in today’s economy.” A 2019 poll by CNBC found that a majority of U.S. respondents said Amazon is bad for small businesses.

Concerns about Amazon might not trump wallet decisions, especially when it comes to smart home products or its market.

“Some people will never forget to connect smart devices with privacy,” said Brendan Witcher, analyst at Forrester. Yet sales indicate consumers value convenience. As more people use the product, they will become “so comfortable with Alexa that they start to feel like she’s part of the family.”

Source link