Amazon: Black FridAI for Smart Software Arrives
December 9, 2024
This write up was created by an actual 80-year-old dinobaby. If there is art, assume that smart software was involved. Just a tip.
Five years ago, give or take a year, my team and I were giving talks about Amazon. Our topics touched on Amazon’s blockchain patents, particularly some interesting cross blockchain filings, and Amazon’s idea for “off the shelf” smart software. At the time, we compared the blockchain patents to examining where data resided across different public ledgers. We also showed pictures of Lego blocks. The idea was that a customer of Amazon Web Service could select a data package, a model, and some other Amazon technologies and create amazing AWS-infused online confections.
Thanks, MidJourney. Good enough.
Well, as it turned out the ideas were interesting, but Amazon just did not have the crate engine stuffed in its digital flea market to make the ideas go fast. The fix has been Amazon’s injections of cash and leadership attention into Anthropic and a sweeping concept of partnering with other AI outfits. (Hopefully one of these ideas will make Amazon’s Alexa into more than a kitchen timer. Well, we’ll see.)
I read “First Impressions of the New Amazon Nova LLMs (Via a New LLM-Bedrock Plugin).” I am going to skip the Amazon jargon and focus on one key point in the rah rah write up:
This is a nicely presented pricing table. You can work through the numbers and figure out how much Amazon will “save” some AI-crazed customer. I want to point out that Amazon is bringing price cutting to the world of smart software. Every day will be a Black FridAI for smart software.
That’s right. Amazon is cutting prices for AI, and that is going to set the stage for a type of competitive joust most of the existing AI players were not expecting to confront. Sure, there are “free” open source models, but you have to run them somewhere. Amazon wants to be that “where”.
If Amazon pulls off this price cutting tactic, some customers will give the system a test drive. Amazon offers a wide range of ways to put one’s toes in the smart software swimming pool. There are training classes; there will be presentations at assorted Amazon events; and there will be a slick way to make Amazon’s smart software marketing make money. Not too many outfits can boost advertising prices and Prime membership fees as part of the smart software campaign.
If one looks at Amazon’s game plan over the last quarter century, the consequences are easy to spot: No real competition for digital books or for semi affluent demographics desire to have Amazon trucks arrive multiple times a day. There is essentially no quality or honesty controls on some of the “partners” in the Amazon ecosystem. And, I personally received a pair of large red women’s underpants instead of an AMD Ryzen CPU. I never got the CPU, but Amazon did not allow me to return the unused thong. Charming.
Now it is possible that this cluster of retail tactics will be coming to smart software. Am I correct, or am I just reading into the play book which has made Amazon a fave among so many vendors of so many darned products?
Worth watching because price matters.
Stephen E Arnold, December 9, 2024
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