• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia
TechAI

Amazon’s New Artificial Intelligence Features Are a Challenge to Silicon Valley

By
Reuters
Reuters
Down Arrow Button Icon
By
Reuters
Reuters
Down Arrow Button Icon
November 30, 2017, 9:06 PM ET
Amazon.com Inc. App As Company Promotes New Tool To Protect Cloud Customers
The Amazon.com Inc. Amazon Web Services (AWS) Shield website is displayed on an Apple Inc. iPhone and iPad in Washington, D.C., U.S., on Monday, Dec. 5, 2016. Amazon.com unveiled a new security tool for cloud customers last week, part of a slew of product announcements designed to fend off competition from Microsoft Corp., Alphabet Inc.'s Google and others in the fast-growing cloud computing market. Photographer: Andrew Harrer/Bloomberg via Getty ImagesAndrew Harrer—Bloomberg/Getty Images

Amazon.com (AMZN) this week announced a flurry of new machine learning features for its Amazon Web Services cloud computing business, raising its challenge to Silicon Valley’s biggest tech firms for the lead in artificial intelligence.

The new offerings will enable AWS customers to develop and quickly “train” their own artificial intelligence algorithms, build software applications capable of translating language on the fly, analyze video, and scan text for trends or key phrases.

Artificial intelligence (AI) refers to machines carrying out tasks that are normally associated with human intelligence. Machine learning (ML) is a subset of AI in which sophisticated computer algorithms are developed to recognize patterns in large volumes of data to solve problems on their own.

For example, with two of the new AWS features a company could quickly transcribe customer phone calls and then analyze the text for customer sentiment.

Already Apple (AAPL) Facebook Inc (FB), Amazon and other top tech companies are developing and using AI for their own products, but the new offerings from AWS could make it easier and more affordable for startups and less tech-savvy enterprises to implement AI technology.

The product announcements, made at AWS’s annual conference in Las Vegas, cap off a year in which Amazon released 1,300 new AWS features, up from a little more than 1,000 in 2016.

“As always, Amazon is making it easier for companies to get started using new technologies,” said Mikhail Naumov, co-founder of DigitalGenius, a London-based customer service startup that uses AI. “Now they are making it easier for companies of all sizes to leverage powerful ML tools in their business.”

Despite being the pioneer and dominant player in the cloud computing market, AWS is playing catch-up to chief rivals Microsoft Corp (MSFT) and Alphabet Inc’s Google (GOOG) when it comes to new AI offerings, several of which will not be generally available until sometime in 2018.

For more on artificial intelligence, watch Fortune’s video:

Microsoft, for example, offered Translator, a direct competitor to the new Amazon Translate, as far back as 2011, Microsoft said. And Google Cloud Platform introduced the Google Natural Language API, a rival to the new Amazon Comprehend, last November. Throughout 2017 both Microsoft and Google announced AI services that rival those unveiled this week by AWS.

“If Amazon can offer products that are just good enough, it can use its leading position,” said Chris Nicholson, CEO of Skymind, a San Francisco startup that provides AI solutions for enterprises.

Among Amazon’s AI announcements is Amazon SageMaker, which lets companies build and quickly train machine learning algorithms. It also announced Amazon Rekognition Video, which uses AI to detect objects and faces in customers’ video content; Amazon Transcribe, which turns audio into text; Amazon Translate, which translates text; and Amazon Comprehend, which analyzes text for sentiment and key phrases.

“We expect the big three to continue to play a game of leapfrog over the next several years as the enterprise moves from experimental to industrialization of AI and machine learning,” said Ken Corless, a principal in Deloitte Consulting’s cloud engineering practice. “Given their market share, AWS’s announcements are significant as they are signaling to the market that they will not cede this space to Microsoft or Google.”

About the Author
By Reuters
See full bioRight Arrow Button Icon

Latest in Tech

BLM
Cybersecurityfraud
Black Lives Matter leader in Oklahoma City indicted on claims she used funds for vacations, groceries and real estate
By Sean Murphy and The Associated PressDecember 12, 2025
15 minutes ago
broker
BankingData centers
AI data center boom sparks fears of glut amid lending frenzy
By Neil Callanan, Paula Seligson and BloombergDecember 12, 2025
19 minutes ago
Donald Trump
AIElections
AI is powering Trump’s economy, but American voters are getting worried
By Mark Niquette, Nancy Cook and BloombergDecember 12, 2025
24 minutes ago
SuccessHow I made my first million
Hinge CEO says he bribed students with KitKats to get the $550 million-a-year business off the ground: ‘I had to beg and borrow a lot’
By Orianna Rosa RoyleDecember 12, 2025
54 minutes ago
AIdigital transformation
How classic digital transformation lessons apply to AI—and what’s different this time around
By Sage LazzaroDecember 12, 2025
59 minutes ago
Steve Jobs, Steve Wozniak, and Ronald Wayne's signatures on the bottom of Apple's founding contract.
SuccessWealth
Apple cofounder Ronald Wayne sold his 10% stake for $800 in 1976—today it’d be worth up to $400 billion
By Preston ForeDecember 12, 2025
1 hour ago

Most Popular

placeholder alt text
Success
At 18, doctors gave him three hours to live. He played video games from his hospital bed—and now, he’s built a $10 million-a-year video game studio
By Preston ForeDecember 10, 2025
2 days ago
placeholder alt text
Success
Palantir cofounder calls elite college undergrads a ‘loser generation’ as data reveals rise in students seeking support for disabilities, like ADHD
By Preston ForeDecember 11, 2025
24 hours ago
placeholder alt text
Investing
Baby boomers have now 'gobbled up' nearly one-third of America's wealth share, and they're leaving Gen Z and millennials behind
By Sasha RogelbergDecember 8, 2025
4 days ago
placeholder alt text
Economy
‘We have not seen this rosy picture’: ADP’s chief economist warns the real economy is pretty different from Wall Street’s bullish outlook
By Eleanor PringleDecember 11, 2025
1 day ago
placeholder alt text
Uncategorized
Transforming customer support through intelligent AI operations
By Lauren ChomiukNovember 26, 2025
16 days ago
placeholder alt text
Economy
Tariffs are taxes and they were used to finance the federal government until the 1913 income tax. A top economist breaks it down
By Kent JonesDecember 12, 2025
5 hours ago
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • Future 50
  • World’s Most Admired Companies
  • See All Rankings
Sections
  • Finance
  • Leadership
  • Success
  • Tech
  • Asia
  • Europe
  • Environment
  • Fortune Crypto
  • Health
  • Retail
  • Lifestyle
  • Politics
  • Newsletters
  • Magazine
  • Features
  • Commentary
  • Mpw
  • CEO Initiative
  • Conferences
  • Personal Finance
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
About Us
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map

© 2025 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.