Amazon and Microsoft focus on AI, not hardware

Amazon and Microsoft are focusing on artificial intelligence (AI) without introducing new hardware. Recent announcements, like Amazon's upgraded Alexa, lacked accompanying gadgets, reflecting a shift from previous years of innovative device launches. The Seattle tech scene has seen significant layoffs in hardware units at both companies, leading to a decline in job postings for hardware engineers. This downturn has affected local design firms and the availability of new engineering talent. While executives claim new AI hardware is on the way, details remain unclear. Current products, like the Echo Show, show little innovation compared to earlier models, raising questions about the future of consumer hardware in the AI era.