Amazon announced that it will terminate its Astro for Business program for small and medium-sized enterprises, less than one year after the launch of this robot security product.
According to the Smart Finance APP, Amazon announced that it will terminate its Astro for Business program for small and medium-sized enterprises, less than one year after the launch of this robot security product. The company revealed in an internal email that this move will enable Amazon to focus more on the development of Astro's home version.
In an email to customers, Amazon explained that the Astro for Business robot will be shut down on September 25th and encourages customers to recycle their devices. Enterprise customers will receive a full refund and an additional $300 credit to support them in finding alternative solutions in the workplace. They will also receive refunds for any unused Astro Secure subscriptions.
It is reported that the commercial version of Astro for Business robot was launched in November 2023, equipped with high-definition periscope and night vision technology, and can patrol independently and draw up to 5000 square feet of space. These robots can be manually and remotely controlled through the Amazon Astro application, with a starting price of 2350 US dollars. However, early criticism pointed out that Amazon and its Ring department's security subscription service was too complicated, and the monthly fee for the three-tier subscription service was as high as 179 dollars.
An Amazon spokesperson said that this decision will not affect any positions, and affected employees will be reassigned to develop home consumer robot products. Although the company did not disclose how many customers will be affected by this decision, this shift marks Amazon's strategic adjustment in a field that is expected to expand greatly in the coming years.
The global market for robot security has huge potential, driven by favorable factors such as labor shortage, cost savings and technological advancement. In addition to Amazon, companies such as Cobalt Robotics, Knightscope, SMP Robotics and departments of large enterprises such as Lockheed Martin, Northrop Grumman, and BAE Systems are also competing in this field.
It is worth mentioning that on July 4th, Optimus, the second-generation humanoid robot from Tesla (TSLA.US), made its debut at the 2024 World Artificial Intelligence Conference (WAIC 2024). A Tesla spokesperson introduced that Optimus 2.0 can walk upright and has increased its walking speed by 30%. Its fingers have also evolved beyond perception and touch to be able to handle delicate tasks like holding an egg as well as lifting heavy items. Recently, Optimus 2.0 has been testing battery sorting training at Tesla's factory.
Lindo St. Angel, Vice President of Amazon Devices, said in an internal email to employees that he still believes that robots will bring long-term benefits to Amazon customers, and emphasized that the progress of generating artificial intelligence has brought new opportunities to the field. St. Angel wrote: "We increasingly believe that the progress of home robot field is where we should focus our resources. To achieve this goal, we have decided to gradually stop the Astro for Business plan and focus all our energy on creating the best home consumer robot products."
Although the initial version of Astro was launched in 2021 as an invitation-only product for home users with a price of $1,600, it can still only be purchased through Amazon's Day 1 Editions program on an invitation-only basis. Amazon has not yet announced a timetable for opening Astro to home users, but said that customer feedback for the Day 1 Editions program has guided the development of multiple new and enhanced features.
For Astro for Business customers, there is currently no official option to convert their existing commercial robots to home robots. However, Amazon encourages customers to take advantage of their recycling program and has automatically sent invitations to these customers to purchase home version robots through the Astro Day 1 Editions program.
Amazon also offers three levels of subscription services for Astro for Business customers, including a $60/month Astro Secure subscription for programming routes and receiving alerts, a $20/month Ring Protect Pro subscription for saving up to 180 days of video history, and a $99/month virtual security guard service that allows human agents to remotely access Astro devices for event investigation. Amazon said that from now on, customers no longer need to pay any subscription fees for Astro Secure and will receive refunds for any unused prepaid subscriptions. Astro Secure will also be discontinued for consumer users who use the service for home security patrols.
As the September 25th deadline approaches, Astro for Business devices for enterprise customers will no longer operate and personal data will be deleted from the devices. Any patrol or investigative videos recorded by Astro will be retained in the customer's Ring app until the video storage period expires or the Ring Protect subscription ends.