Recently, Amazon CEO Jeff Bezos and music business vice president Steve Boom accepted an interview with the well-known magazine Billboard, which specifically talked about Amazon. The music business and Alexa's huge musical appeal and potential.
In this interview, Bezos first stated that Amazon is not a "newcomer" in the music field. They have been selling CDs online since 1998 and have been leading. In fact, they have been constantly on the music scene: in 2007, the Amazon MP3 service launched with iTunes, and in 2014, Prime Music competed with SpoTIfy. In October 2016, they also launched Amazon Music Unlimited, a streaming music service with a subscription payment mechanism.
Bezos believes that "family" is the next big growth area of ​​the music industry. It is Amazon's ultimate goal in this matter to win home users in the music industry. He has to rely on two means to drive the growth of the music business.
1. Prime membership system
Prime membership is a member value-added program for Amazon. More than half of Amazon users today, at least 66 million, are Prime members. They pay Amazon a membership fee of $99 a year, enjoy priority free shipping, free music and video subscriptions, and innovative pilot projects that are launched from time to time.
The Prime membership system is one of the two driving forces behind the development of Amazon's digital music industry, and Amazon attaches great importance to it. For example, when Amazon launched the Music Unlimited service in October last year, there were special offers for Prime members: $120 for regular members and $7.99/month for 79/month or $79/year for Prime members. If you subscribe to the family plan, you will pay $14.99 per month and up to six people to subscribe. The average annual service fee for each group member is less than 40% of the individual payment.
2, Echo audio and Alexa artificial intelligence system
Amazon's Echo audio and voice assistant Alexa will be a decisive factor in the success of its music field. Amazon Echo is a voice-controlled smart sound that first landed in the US in 2015 and can be used with smartphone apps. With the Alexa Voice Assistant, the user speaks directly to set up an alarm, call a car, order a meal, and listen to music. There are 7 hidden microphones on Echo to ensure that voice commands are sent from anywhere in the room.
In Bumm's opinion, this voice operation is much more intuitive than typing the name and clicking the search results again and again on the phone menu. Bezos said behind the realization of these functions, behind these technological advantages, is the joint efforts of Amazon's thousands of machine learning and computer scientists.
Bezos said that Echo is a public device, not as private as a mobile phone. He has placed Echo products in almost every room, including the bathroom. He and his family each have their own playlists and musical preferences, and even argue for the use of Alexa when the whole family is in the same room.
Boom's team had predicted that Echo and Alexa could help Amazon succeed in music, but the actual situation is better than their most optimistic assumptions. In the 2016 Thanksgiving season to the Christmas season, Echo was out of stock, and Amazon's subscription to Amazon music services increased by 50% in 2016.
3. The golden age of music and the beginning of voice interaction
"In terms of the combination of voice technology and music, I can tell you that it has already begun. The family is the next big growth area for the music industry." Asking reporters how much Amazon's music business can do, Bezos This means that. At the same time, Bumm added that it is now the "golden age" of the music industry, and they are very confident about the long-term prospects of the music industry.
"We are really just at the beginning of voice interaction," Boom stressed, and the space for improvement in the music industry is still very broad. Referring to the challenge from Apple's Siri, Google's Google assistant, Bezos said that Amazon's leading edge comes from "we have been doing machine learning within Amazon for more than a decade and apply it to such as "user recommendation" and other consumption. For things that are not easily noticeable, for example, in Amazon's fresh e-commerce services, we use machine learning systems to achieve strawberry screening that is superior to artificial levels."
Many people think that Alexa's strategy of entering the family is equivalent to “putting a cash register in every home in the United States†because it can easily attract consumers to buy physical and digital devices from Amazon's own “million goods storeâ€. . When the reporter asked this question, Bezos denied this: "Now don't talk about this. If you have a two-year-old baby to take care of, and the cost of diapers is huge, we certainly hope to help you improve your life. Voice The benefits of interaction in online shopping will stop here... Alexa is mainly aimed at improving the task of voice interaction in the home, music is one of them, and there is another home automation. For example, you can say: 'Alexa Turn off all the lights in the house, 'Alexa, raise the air conditioner by two degrees'. This is really amazing."
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