The Corporate War vs. Amazon and the Future of Tech
Jeff Bezos, you’ve come a long ways. Now Google and Walmart are creating an anti-Amazon alliance.
Amazon has made such startling progress in recent years and months, there is now an official campaign by the most powerful companies in America against them. Leading the charge are Walmart and Google.
FUTURE OF TECH NOT JUST RETAIL IS AT STAKE
This has become a fight for future dominance not just in retail but in the attention economy. In the summer of 2017, Walmart even asked its vendors to leave AWS, Amazon’s cloud leader. Then in September Google pulled YouTube from Amazon’s Echo Show, the first smart speaker with a screen. This is before the likes of Google or Facebook have even released a smart screen to reach consumers in the home.
AMAZON OBSTACLES FOR WORLD DOMINATION
This tech movement to slow down Amazon at home, hurts Amazon in its final bid to unseed Alibaba as the global leader in e-commerce. When Amazon acquired Whole Foods and added its discounts, it erased $12 billion in the stocks of the grocery giants market. This impacted the likes of Kroger, Costco and Target in a big way.
Amazon is already winning in India vs. Flipkart, where a huge monopoly is likely in the future of e-commerce and Voice AI of one of the youngest and most tech friendly populations. Meanwhile, while Google is losing the smart speaker market in the early days, it recently waved the Google Express fee and got Walmart and Target to join the program, in the hopes of competing directly with Amazon in voice activated shopping.
AMAZON VS. TECH
As Facebook struggles to create a lifeline for the future of VR and its R&D innovation lab building 8 is slow out of the blocks, Amazon is creating a future channel of the web in voice AI. Apple’s HomePod isn’t even expected to challenge in the domain when it comes out later this year.
Microsoft has actually teamed up with its bet on the winner, with a new deal between Cortana and Alexa. Microsoft is placing its bets elsewhere such as quantum computing, and cyber security in the cloud. This means, even as Amazon embarks on the future of grocery and food retail, it’s beating the biggest tech companies at their own game.
SUPERIOR PUBLIC RELATIONS
As Amazon hunts for the city to hold its second headquarters, it’s become clear Amazon understands not just consumers and products better, but the nature of influencing consumers in the modern day attention economy or PR and advertising. Sure we use Facebook or Google as services (we taken for granted), but few of us care about what they do as consumers or as brands beyond the direct value of their solution. With Amazon, that’s not the case. Amazon Prime, Video, gadgets and Alexa all provide added value in our lives of convenience that differentiates Amazon’s brand in a much more visceral sense.
Amazon isn’t the biggest, fastest car on the highway. It’s become the highway itself.
Amazon is synonymous not only with E-commerce in the U.S. but the future of American corporations at the start of an age of automation, robots and last-mile fulfilment that embraces entertainment, attention and “grab and go” shopping. Nobody searches for products on Google anymore, they just go directly to Amazon.
Nobody wants to have to say “Okay Google” simply to activate AI.
While Facebook is hit by Russia hacking scandal in the later part of 2017, optimising products for Amazon’s algorithm is increasing in importance as Amazon is taking the search channel away from Google more each year.
Many analysts are anticipating that Amazon has the biggest opportunity to be the outsider of Google and Facebook’s duopoly hold on digital advertising and the new media.
WHO CAN “SAVE” DIGITAL ADVERTISING FROM FACEBOOK AND GOOGLE?
The U.S. digital ad market grew by nearly $12 billion last year, with Google and Facebook collecting 77 cents of each new dollar spent, according to eMarketer. PETER AND MARIA HOEY
With Amazon’s rise in original content via Amazon Prime Video, Amazon will show in 2018 and further that in has deeper pockets than Netflix in a result that seems inevitable.
Therefore that Walmart, Google, Netflix, Flipkart and Alibaba go against Amazon in 2018, history will show it’s already too late. Amazon owns not only the future of e-commerce, but likely a sizeable chunk of the entertainment industry with the likes of video services such as Twitch that signals a new ecosystem of live-streamers.
THE CHOSEN ONE — IS AMAZON
If you haven’t been paying attention Amazon receives preferential treatment on Walstreet, in the attention economy, and causing more fear, awe and reverence than all the other tech and retail companies combined. This is partly due to Amazon’s ability to scale across verticals and have the budget to fail fast and redefine how customer retention is done.
Amazon isn’t just the corporate boogeyman of America, Avatar is the “chosen one” to lead American Tech in the future wars vs. China.
NYU’s Scott Galloway has long claimed Amazon will be the first $1-Trillion company. In his controversial new book on Amazon, Galloway insinuates the real reasons of how Amazon has become what it is today.
Jeff Bezos’ essential rap has not changed in 15 years and it’s a pretty intoxicating visionary rap, where they’re gonna invest massively across some consumer truisms that aren’t perishable: value, convenience, selection, speed. — Scott Galloway
With Apple’s innovation and R&D seemingly narrow, only Google and maybe Tencent and Alibaba appear to provide Amazon with worthy competitors in the future of tech.
AMAZON IS ENTERING BRICK AND MORTAR SLOWLY
In a world where there is no Facebook village yet, no Google presence behind a struggling Pixel brand and cute Google Home Mini devices, Amazon has a number of store fronts it’s flirting with. Whole Food stores, AmazonGo, AmazonFresh Pickup and Amazon book stores. Amazon has not decided to follow Alibaba into automated cafes quite yet; but they will learn with Whole Food stores and implement a new standard of the retail store.
AMAZON IS BUILDING THE FUTURE
It’s hard to imagine that Jeff Bezos is not destined to become the richest person on the planet and with that comes a certain klout and respect in the tech community. Bezos is not the celebrity Elon Musk is, but Amazon commands respect for being an innovation machine. It’s hard not seeing them continue this in the age of exponential technologies such as robots, 3D-printing, biotech and next-gen AI suggestions with a 360 degree picture of our data. How Amazon has created a Voice-AI channel in just a few brief years, is an eerie omen of what’s to come.
Amazon has been linked to everything from a secret health tech department known as 1492, to futuristic smart glasses that would make Alexa even more ubiquitous. Amazon is therefore well placed to keep leading in the Cloud, e-commerce, new media, AI of consumer products and even advertising.
AMAZON IS AN ATTENTION ECONOMY NATIVE COMPANY
According to Recode, Amazon is mentioned on more corporate conference calls than Alphabet.
Amazon is very aware that to position itself not just as an innovation leader but as a new media company means winning the war for press in the post-legacy web and mobile attention economy. In 2018, Amazon will have more than 100 million Amazon Primer members and by 2020 will likely outspend Netflix itself in original content.
While YouTube isn’t going away anytime soon, the voice AI layer is altering how consumers interact with the web is very noticeable ways that are changing the game for the future of the attention economy.
GOOGLE AND WALMART TEAM UP VS AMAZON
While third party sellers on Amazon are being sold for millions, it remains to be seen how well Google Express (shopping service that is also on Google voice AI) does with Walmart and Target joining their already impressive list of participating retailers.
There’s a major war of price, convenience, value and speed and it’s everyone against Amazon. Thus far, it appears Amazon is winning forcing the hand of legacy brands such as Walmart and even rushing Facebook to deliver some kind of iteration of a smart screen.
With all the hype and fear, those are strong emotions that trend non-stop in the attention Economy that are elevating Amazon’s brand in 2017 past both Apple and Google. The fact that they are a major sources of job creation in the U.S. pre automation economy, signals a brand that is walking a delicate line between convenience, disruption and being trust worthy to consumers and a can’t-miss must-have solution from everything from consumables, to video to the enterprise cloud.
If Western tech companies outside of Apple have consistently failed to crack the code of entry into China, Amazon is playing a number in India that is in my opinion it’s best investment in terms of ROI that it could have made with a few billion dollars. First to market is significant when you project the future of technology into the next two decades. Amazon is able and used to fight more battles in tech than Google, Facebook and Microsoft combined, and this ultimately is what differentiates Amazon from the rest.
As Business Insider and LinkedIn spam articles and mentions of Amazon, I’ll be watching, as one of the most prolific evangelists and writers on Amazon. While it’s not clear if Google can make serious gains on Amazon in voice AI in 2018, Walmart’s glory days have likely peaked, where Amazon’s brick-and-mortar future remains very much a thing to watch.
In 2018, Amazon should slay more enemies such as Flipkart, possibly acquire someone like Slack or Snapchat and make considerably headway both as a new media company and as a Voice AI leader. Amazon will make a city like Denver or Boston very excited as its HQ2, and deliver an even better holiday shopping and Amazon Prime day experience. Amazon Prime will surpass 100 million members and thus embolden Alexa and Amazon Prime Video to do even better as the considerable investment in original video content starts to pay off. Other things to watch include:
- How Whole Foods will do vs. Walmart, Costco, Kroger and others.
- How many Alexa skills increase (currently 25,000) and how useful they are to Alexa device home owners.
- How Amazon Alexa devices holds the smart speaker/screen market vs. Google and new comers Facebook, Apple, Samsung, Alibaba, Line and others.
- How AmazonFresh and AmazonGo stores scale into new cities.
- How Amazon Prime Video makes gains on Netflix with quality of original content and viewers.
- How Amazon can make headway as an Advertizing Giant with superior attribution for businesses.
- How Amazon continues to scale in India, Australia, Singapore and enters the battle over South-East Asia.
There are literally hundreds of micro battles Amazon is facing in 2018, but most pundits agree the corporate war vs. Amazon has just gotten started.