Compatibility Is The Key To Amazon’s Smart Home Success
For Amazon, hardware has always been a means to an end. From the Kindle e-reader to the Fire tablets to its TV offerings, the company has always treated the space as something of a loss leader – even with its most popular offerings. Amazon has found success in pricing devices much closer to cost than the competition – something a company can only really get away with if it plans to make up for things somewhere down the road, like, say if you’re in the content selling business.
Amazon’s Echo central hub is an essential part of inter-connected smart home devices. Amazon’s Echo strategy is a huge success with nine times sales this year in comparison to last year. Amazon continually partners with third-party hardware suppliers to manufacture Echo and Alexa compatible smart home devices.
Smart appliance manufacturer Ecobee has announced that its products would be compatible with Amazon platforms, leading to further proliferation of Echo and Alexa. Ecobee’s voice enabled smart thermostat is the proof that Alexa is also a great standalone offering outside the Echo. The Echo line, Alexa and compatible third-party smart devices have powered Amazon way ahead of Apple and Google in the smart home market.
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