Amazon is looking to strengthen its AI search functions with a chatbot, according to Bloomberg. The company is touting a “once-in-a-generation” transformation of how users interact with the buying platform. This follows the trend set by Microsoft with Bing Chat, OpenAI, and Google’s Project Magi, which was announced at Google I/O and features a new Google Search experience with more chat features.
Amazon is hoping to capitalize on the AI hype, but its dominant position in the webstore market is unlikely to be threatened anytime soon. Last year, the webshop had a 25 percent market share of all online sales.
The company is comparing its transformation of search to the Mosaic browser in the 1990s, which democratized internet use. Amazon is well-positioned to take advantage of this opportunity, with its capital, brand awareness, and universal affiliate links. However, history has shown that the first innovators in such an area do not necessarily maintain a dominant position in the market.
