Amazon is reportedly developing a new AI assistant project codenamed 'Moonraker' to improve Alexa's ability to handle multi-step and simultaneous requests. Internal documents suggest this initiative aims to give Alexa more 'agentic' capabilities, allowing users to issue commands like booking a ride and texting a friend in a single interaction. This move positions Alexa to better compete with advanced AI models from rivals such as Google and OpenAI.

The project's ambitious scope comes with significant projected costs. Amazon anticipates GPU expenses exceeding $100 million in 2026, potentially leading to delays or scaled-back ambitions for Moonraker. Some internal figures reportedly believe current Alexa AI models are over-invested. Plans include using hundreds of NVIDIA GPUs and an Anthropic Sonnet model for advanced reasoning and visual responses.

This development follows the recent nationwide US rollout of Alexa+, which has faced user complaints regarding basic request handling, despite Engadget's positive remarks on its conversational improvements. Amazon continues to invest in Alexa+, recently adding new personality styles and enabling natural language food delivery orders through apps like Grub Hub and Uber Eats. The Moonraker project signals Amazon's commitment to evolving Alexa into a more sophisticated AI assistant.