Amazon Markets Computer Chips and Related Components To Other Enterprises

08 Jan

Amazon chip, Amazon marketplace

Amazon’s privacy division would be aiming at customers designing home machinery.

Amazon entered into the chip market. A secretive unit of the ecommerce business disclosed its plans to market computer chips and related components to other organizations. An Israeli enterprise ‘Annapurna Labs’ bought by the Seattle-based company in 2015, which is now located in Silicon Valley, said it is targeting customer home equipment, such as media streaming products, data storage gear and Wi-Fi routers. Some of its technology is currently part of commercial devices, Annapurna said. It referred to makers that include Net gear, Asutek Computer and Synology.

Annapurna said its devices include chips based on technology authorized by ARM Holdings, the most broadly used type of processor in smartphones. Intel Corporation, the largest vendor of chips used in PCs, has made efforts in the past to crack the hold of the British organization in smartphones without achieving much.

Annapurna told it was making efforts to resolve the limited connectivity and computing problem in a large number of home products. Its Alpine chips pack up to multiple types of technology used for networking and four processors to improve the performance of the products.

In January, when Amazon purchased Annapurna, purportedly for about $350m, the people aware of the matter told it is quite likely that the ecommerce organization would deploy its chip technology in datacenters related to its cloud computation unit, Amazon Web Services.

Amazon has shown willingness to purchase hardware development organizations to develop technology for internal use. This is what it has done with warehouse robot development business ‘Kiva Systems’, which it purchased for around $775 million in 2012 through which it ended the robot manufacturer’s expanding business to deliver to other sellers.

Therefore, it is not usual to a certain extent that other organizations are being delivered by Annapurna. It is not still clear what Amazon might have planned for Annapurna apart from Alpine chips. Spokesman of the American company has refused to share his views regarding the unit.

In 2011, Avigdor Willenz, founder of chip design organization ‘Gallileo Technologies’, founded Annapurna Labs, which was purchased by Marvell Technology in 2000 for $2.7bn. Mr. Avigdor and his relatives initially financed the chip manufacturer.

In other news, Amazon has opened its new store at the University of Cincinnati. The newly opened distribution center would allow students to use ‘Amazon Student’ to buy all items free of charge.

TechCruch has reported that Amazon would grant access to Amazon Prime to military families and members serving abroad. This measure will be taken to offer original programming to residents of military bases across the world.



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Posted by on January 8, 2016 in Amazon, Technology


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