DETROIT (Reuters) – Amazon.com Inc. is expanding its transportation prowess to do virtually everything, short of building a car.
While Amazon founder and CEO Jeff Bezos has said little in public about the company’s ambitions in the sector, the strategy focuses on the exploitation of the Amazon’s strong points, logistics, cloud computing and digital services, together with the interest in the related fields of robotics into the manufacturing, more than two dozen people, including many in the Amazon, supervisors, and managers in the industry are familiar with the strategy, and a Reuters analysis of Amazon’s patent activity.
With these new investments, and joint ventures up and down the auto supply chain, and the hiring of key auto-industry veteran, and the generation of a robust patent portfolio in the Amazon, is in the running to take on the challenge of the business, customers, and partners, ranging from United Parcel Service, Inc. to Uber Technologies, Inc.
Companies such as Amazon Web Services and Fulfillment by Amazon is started as an internal effort to reduce costs and improve efficiency in the use of the consumer, and later extended to commercial customers. However, the companies are working together with Amazon, also have the risk of losing the retailer’s transportation expertise is growing, according to some analysts and industry insiders.
Corporate clients should be very, very scared ‘ of Amazon’s move into the dash board, said John Ellis, a transport consultant and former global technologist, Ford Motor Co. As consumers pay less attention to the pk’s, to streaming of content and services, and they expect that more and more consumers don’t really care if you’re in a Ford or a Chrysler, or a Chevrolet or a BMW.”
Ned Curic, a former Toyota Motor Corp. executive, was recruited by Amazon to be monitoring the Alexa’s Car in 2017, it said in a written reply to Reuters that the company is “always looking for new ways to improve the integration of Amazon’s services, as we believe it will bring value to our customers.”
A Reuters analysis of more than 5,000 u.s. patents granted to Amazon by December 2016 to May 2019 and the U.s. Patent and Trademark Office, at least 210 of which patents are going to about transportation-related topics, from drones to automated vehicles. The vehicle-related patents, the pressure caught up with tech rivals such as Apple Inc. and Alphabet, Inc. Google, whose sister company, Waymo’s a self-driving pioneer.
Amazon was awarded several patents which relate to the carriage of passengers, including at least 2017, a patent shall, at the request of transport by means of a network of self-driving cars, a potential competitor to Uber, Lyft Inc. and Waymo, as well as the large-car customers such as Volkswagen, Ford, and General Motors Co.
Patents do not always evolve in specific industries, and processes in the Amazon, he said.
“Like many companies, we are able to in the case of a number of future applications that will explore the possibilities offered by new technologies. Patent several years, and do not necessarily reflect the current trends, products, and services, ” an Amazon spokesperson said in a statement.
The application of pressure with a boost in Amazon’s transportation-related capital expenditures. Since the beginning of February, along with other major investors in the delivery of nearly $2 billion in funding for three high-profile start-ups: an electric truck maker is Rivian Automotive, self-driving systems developer in Aurora, and a food delivery company, Deliveroo.
In the past two years, Amazon has built up from the transport ecosystem, with the acquisition of three start-ups — Shipping, your Tapzo, while investing hundreds of millions of dollars, there are at least nine others, including that of the Shuttl, an Indian company is developing an app to help commuters to find a seat in the buses.
Amazon’s business partners in the sector, including automotive suppliers, such as Aptiv, Panasonic Corp., and Nvidia Corp., the big transport service providers like Uber and the Like, as well as self-propelled heavy-duty truck and start-ups to Start, and China is the world’s TuSimple.
The company, through its $33 billion of Amazon’s Web Services unit is a fast-expanding business with existing clients, in particular, by the use of a large, cloud-based initiatives this year, Ford’s and VW’s.
Amazon’s a Scout, curb machine is to be seen in this photo taken July 25, 2019. Thank you Amazon.com/Handout via REUTERS
The strategic alliance with VW, which is also the German vendor Siemens AG, which aims at the creation of an “industrial cloud” is a digital plug, the car maker’s remote production operations of 122 plants worldwide, and up to 30,000 in the supplier’s factories, according to Jonathan Allen, director of professional services at AWS’ global automotive practice.
Volkswagen in March said the WORLD of cloud-based services, including machine learning and data analysis, as it would help the car maker to increase efficiency and accessibility, and improve the production flexibility and raise the vehicle high quality.”
AWS is one of Amazon’s fastest-growing, highest-margin businesses, and it provides a platform for business customers, BMW’s and Toyota’s to Avi’s, and Formula One management, analysis, and, in some cases, to monetize the data.
Gavin Sherry, the chief executive of Ford’s Autonomous, web-services subsidiary, said the No. 2 U.S. automaker can learn a lot from Amazon, it will work with the Autonomous and the Ford motor company to build a cloud-based platform for the job.
“They have the relationships, credibility, and know-how, we are going to need in order to fulfill our vision,” he told Reuters.
SO + LOGISTICS
Alexa, google, and Amazon’s digital assistant, is taking a leading role in the business driving in the car.
Amazon is working with several car manufacturers to embed, So for vehicles, and has deals with GM, Ford, Volvo, and Honda Motor Co., Ltd. in order online for orders to be delivered to the owner of the car.
“Our goal is to provide So as to so as many vehicles as possible, either through direct integration by the automakers or by the use of accessories for cars, So built in,” Curic said.
“We have a lot of work to do,” Curic added to it, such as the “bring it on So go to the number of vehicles and accessories, or the construction of new Alexa features for the vehicle, and the launch of our very own, automotive products, and Ultrasound Services.
Then, Alexa has a Car, a lot of Amazon’s in-focus theme: how to cut the cost of transportation of packages, mostly through the company’s Prime-Prime-Air-delivery and freight services.
It provides the capability, with the addition of Amazon’s, delivery vans, and cargo planes. The investment in Rivian, which is designed to be a flexible, electric-truck-style architecture, and the Aurora, which is the development of a software “driver” for an autonomous vehicle, point to any development of a self-driving electric vans and trucks, analysts said.
In the Amazon, which is already more than $8 billion in shipping last quarter of the year, it is the building in the whole of the logistics infrastructure through the automation of warehousing, long-haul trucks and last-mile deliveries-with-the-Scout-robots and aerial drones, according to public records.
Electric vehicles are now a part of Amazon’s strategy to connect homes to the network. Amazon has been providing home-charging systems for the Audi e-tron, small and medium enterprises in electric-SUV – a deal that would be a step in the direction of, the management of vehicle fleets, said Roland Berger’s partner, Stephan Keese.
PRIVACY OF YOUR PERSONAL DATA
A frequently mentioned concern – in common, Amazon, Google and Apple, it is for the safety and privacy of the information about the vehicles and their occupants.
Curic said the voice, data compiled by Alexa, the consumer, to be used by the Amazon supply and improve the services we offer.”
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The data is collected using Amazon’s Web Services is absolutely secure and confidential,” said Curic. “Not a single customer, including Amazon’s Consumer business, has the right to access any other AWS data to the client.”
All told, Reuters, WORLD, working with corporate clients to provide advanced data analysis as well as building services to generate revenue from the data and improve the customer experience.
“It’s going to lead to the generation of income from the dates that are in the business, Allen said.
– Additional reporting by Jeffrey Dastin in San Francisco, Norihiko Shirouzu in Beijing; Editing by Joseph White and Edward Tobin