https://www.theverge.com/2018/2/12/17004734/amazon-custom-alexa-echo-ai-chips-smart-speaker

Amazon has started designing a custom artificial intelligence chip that would power future Echo devices and improve the quality and response time of its Alexa voice assistant, according to a report today from The Information. The move closely follows rivals Apple and Google, both of which have already developed and deployed custom AI hardware at various scales. AI tasks, because they are so computationally intensive, often need custom-designed chips for the devices themselves and even custom-designed servers for data centers where AI algorithms are often trained, developed, and deployed from the cloud.

While Amazon is unlikely to physically produce the chips, given its lack of both fabrication experience and a manufacturing presence in China, the news does pose a risk to the businesses of companies like Nvidia and Intel. Both companies have shifted large portions of their chipmaking expertise to AI and the future of the burgeoning field, and both make money by designing and manufacturing chips for companies like Apple, Amazon, and others.