Amazon is no longer content to let Alexa remain confined to the living room. At CES 2026, the tech giant unveiled a sweeping expansion of its Alexa+ AI assistant that brings the conversational interface to web browsers, redesigned mobile apps, and an array of new hardware—marking the company's most aggressive push yet to compete with ChatGPT and Google Gemini in the consumer artificial intelligence market.
From Smart Speaker to Everywhere
The centerpiece of Amazon's announcement is the launch of Alexa+ on the web, allowing users to chat with the AI assistant directly through their browsers without needing an Echo device. This seemingly simple addition represents a strategic pivot for a company that has long tied its AI capabilities to hardware sales.
"We're meeting customers where they already are," said an Amazon spokesperson during the CES presentation. "Alexa+ is no longer just about the smart home—it's about being your AI companion across every screen."
The web-based Alexa+ arrives with capabilities that directly challenge OpenAI's ChatGPT. Users can now engage in extended conversations, request complex research tasks, and leverage Amazon's e-commerce ecosystem for shopping recommendations and purchases—all through a browser interface that requires nothing more than an Amazon account.
The Bee Wearable Emerges
Six months after acquiring wearable AI startup Bee, Amazon finally offered the first glimpse of what that $200 million investment has produced. The company showcased a compact wearable device that functions as an always-listening AI companion, capable of contextual awareness and proactive suggestions throughout the user's day.
While details remain limited, the Bee-derived wearable appears designed to compete with the growing category of AI pins and pendants that have emerged from startups like Humane and Rabbit. However, Amazon's approach integrates deeply with its existing ecosystem of services, from Prime delivery to Whole Foods grocery ordering.
Catching Up After a Disappointing 2025
The timing of these announcements is not coincidental. Amazon endured a humbling 2025, with its stock rising just 6% while the S&P 500 gained 18%. The underperformance frustrated investors who had bet on the company's AI capabilities, only to watch competitors seize the narrative.
TD Cowen recently named Amazon its top mega-cap internet pick for 2026, citing three potential growth drivers: AWS cloud reacceleration, e-commerce and advertising momentum, and margin expansion. The Alexa+ expansion addresses the elephant in the room—consumer AI—where Amazon had fallen conspicuously behind.
"We expect a very strong earnings season for Big Tech as investors revisit forecasts for spending on data centers and AI."
— Jed Ellerbroek, Portfolio Manager at Argent Capital
The AWS Connection
Behind the consumer-facing announcements lies a deeper strategic play. Every Alexa+ interaction, whether on web, mobile, or wearable devices, runs through Amazon Web Services infrastructure. As the company works to reignite AWS growth after a period of cloud spending moderation, driving AI workloads through its own consumer products creates a virtuous cycle.
This week alone, Amazon shares climbed 3.4% to close at $240.91, buoyed by renewed optimism around the company's AI positioning. Investors appear to be betting that Amazon can leverage its unmatched reach in e-commerce, cloud computing, and smart home hardware to carve out a meaningful position in the AI assistant wars.
What It Means for Investors
For shareholders who endured Amazon's frustrating 2025, the CES announcements offer reasons for cautious optimism. The company is finally addressing its AI gap with a multi-pronged approach that plays to its strengths rather than trying to out-innovate pure-play AI companies.
The question remains whether consumers will embrace yet another AI assistant when ChatGPT and Gemini have already captured mindshare. But Amazon's 200 million Prime subscribers and hundreds of millions of Alexa devices in homes worldwide provide distribution advantages that few competitors can match.
As one analyst noted, Amazon doesn't need to win the AI assistant race outright. It just needs to ensure that when consumers shop, search, or manage their homes through AI, Amazon remains in the conversation. The Alexa+ expansion suggests the company understands this reality—and is finally playing to win.
