Update
Amazon Projects Alexa+ Cloud Costs to Reach $1.7 Billion in 2026
Amazon has projected approximately $1.7 billion in AWS cloud costs for its Alexa+ service in 2026, nearly tripling the previous year's total. The documents also reveal Amazon is considering two cost-cutting moves: reducing reliance on Anthropic's models and spending less on Moonraker, an AI agent project tied to Alexa+. The cost pressures are affecting Amazon's device business, with potential savings identified but not yet implemented. Alexa+ is expected to reach more users in 2026, with Prime members gaining full functionality for free and others paying $19.99/month for subscription.