Alphabet Inc. (NASDAQ:GOOGL) May Dethrone Amazon.com, Inc. (NASDAQ:AMZN) On Home Digital Assistants

Andy Parker
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Alphabet Inc. (NASDAQ:GOOGL) May Dethrone Amazon.com, Inc. (NASDAQ:AMZN) On Home Digital Assistants

The race for dominance in the smart assistant market is Alphabet Inc.’s (NASDAQ:GOOGL) to lose according to Edison Investment analysts Richard Windsor. The analyst believes the tech giant has the much-needed arsenal to rival Amazon.com, Inc. (NASDAQ:AMZN) which continues to send shockwaves with its home digital assistant Echo.

Google’s AI Edge

Google Home according to the analyst is by far the better product thanks to its artificial intelligence capabilities that are second to none. The analyst is confident that the tech giant will start to call the shots on digital home assistants as soon as developers start to embed their products and software with Google Home.

Google’s strength in artificial intelligence could give it an edge when competing against its peers. However, a lack of products for the space has made it impossible for it to bridge the gap against Amazon.

“This problem is reflected right the way through the entire smart home ecosystem where every smart device one can think of works with Amazon Alexa but only a small proportion work with Google Assistant,” said Mr. Windsor.

Google’s Competition

The search giant faces an uphill task to dethrone Amazon which was first to market with Echo voice-activated assistant in 2015. The e-commerce giant controls nearly 70% market share in the home digital assistant business thanks to the success of its Echo speaker.

Amazon is currently offering developers cash rewards to create apps for Echo as it seeks to protect its market share in the sector. The company is also offering free cloud computing service for the development of the apps.

Apple Inc. (NASDAQ:AAPL) is another tech giant gunning for market share in the fast-growing spectacle. The iPhone maker has already unveiled HomePod that it plans to use to keep loyal fans to its ecosystem of hardware and services.

Microsoft is yet to venture into the home digital assistant business even though it boasts of one of the best virtual assistants in Cortana. It is still unclear when the company will unveil its speaker activated digital assistant.