{"id":117995,"date":"2025-11-02T17:31:07","date_gmt":"2025-11-02T17:31:07","guid":{"rendered":"https:\/\/www.newsbeep.com\/ie\/117995\/"},"modified":"2025-11-02T17:31:07","modified_gmt":"2025-11-02T17:31:07","slug":"amazon-says-its-ai-shopping-assistant-rufus-is-so-effective-its-on-pace-to-pull-in-an-extra-10-billion-in-sales","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/ie\/117995\/","title":{"rendered":"Amazon says its AI shopping assistant Rufus is so effective it’s on pace to pull in an extra $10 billion in sales"},"content":{"rendered":"

In case you were unsure about Amazon\u2019s ability to monetize artificial intelligence, \u201cthe everything store<\/a>\u201d assigned a staggering dollar figure to the performance of its AI shopping assistant, Rufus, estimating the chatbot will generate an additional $10 billion in annualized sales for the company.\u200b<\/p>\n

The disclosure came during Amazon\u2019s third-quarter earnings call<\/a> on Thursday, when CEO Andy Jassy shared new metrics demonstrating the tool\u2019s growing influence on customer behavior. According to Jassy, 250 million shoppers have used Rufus this year, with monthly active users growing 140% year over year and interactions increasing 210%.<\/p>\n

And here\u2019s a killer stat from Amazon: Customers who engage with Rufus during their shopping journey are 60% more likely to complete a purchase compared to those who don\u2019t use the assistant.\u200b<\/p>\n

\u201cRufus is expected to generate over $10 billion in annual incremental sales for us,\u201d Jassy said on the call<\/a>, highlighting what has become one of Amazon\u2019s most visible bets on consumer-facing AI.\u200b<\/p>\n

Amazon reported third-quarter revenue rose 13% to $180.2 billion, exceeding analyst expectations of $177.8 billion. The company\u2019s cloud-computing division, Amazon Web Services, posted 20% revenue growth<\/a> to reach $33 billion\u2014its fastest expansion since 2022, Jassy said.\u200b<\/p>\n

Rufus, which launched in beta in February 2024<\/a>, is a shopping assistant that\u2019s embedded directly into Amazon\u2019s mobile app and website. Amazon trained Rufus on its entire product catalog, as well as customer reviews, community Q&As, and information from across the web. Shoppers can ask questions from broad product comparisons\u2014like differences between trail and road running shoes\u2014to specific questions about individual items, like whether a certain coat is suitable for winter.\u200b<\/p>\n

Rufus represents Amazon\u2019s strategy to keep customers within its ecosystem<\/a> rather than losing them to search engines like Google<\/a>, where they might discover competing retailers, or other AI engines like ChatGPT. By answering product questions and offering recommendations without requiring users to leave Amazon\u2019s platform, the goal of Rufus is to train people that Amazon can help you do research about its available products, in addition to simply advertising and selling them.\u200b<\/p>\n

Amazon launched Rufus in the U.S. before rolling out the chatbot across the UK, India, France, Germany, Italy, Spain, and Canada. Amazon continually improved the tool throughout 2025; just last week, it introduced a feature called \u201cHelp Me Decide,\u201d<\/a> which uses algorithms to offer guidance when shoppers feel overwhelmed by choices.\u200b<\/p>\n

The $10 billion sales estimate is tied to what Amazon internally calls \u201cdownstream impact,\u201d a metric the company uses to measure how specific features or services drive additional consumer spending across its marketplace. For Rufus, this means tracking purchases that result from interactions with the chatbot, even if those transactions don\u2019t happen immediately. The company employs a seven-day rolling attribution model to capture delayed conversions.\u200b<\/p>\n

Business Insider reported in April that internal planning documents projected Rufus would indirectly contribute over $700 million in operating profits for the year<\/a>, with expectations to reach $1.2 billion in profit contributions by 2027. Those projections included revenue from advertisements embedded within Rufus responses to user queries.\u200b<\/p>\n

Jassy\u2019s remarks during the earnings call emphasized how AI is reshaping Amazon\u2019s retail operations. He noted the company has also launched generative AI features that convert product summaries and reviews into audio clips, and has expanded from covering hundreds of products at launch to millions currently. Another tool, Amazon Lens<\/a>, allows customers to use their smartphone cameras to search for products visually, with tens of millions of customers using it each month.\u200b<\/p>\n

Amazon\u2019s advertising business also posted strong results, with revenue climbing 22% to $17.6 billion in the third quarter. Jassy attributed part of that growth to the company\u2019s demand-side platform, which has been enhanced with new features over the past 20 months and now integrates ad inventory from Netflix<\/a>, Spotify<\/a>, and SiriusXM.\u200b<\/p>\n

The Rufus announcement comes amid broader questions about Amazon\u2019s investments in AI infrastructure. The company raised its 2025 capital expenditure forecast from $118 billion to $125 billion, with CFO Brian Olsavsky indicating that spending will likely increase again in 2026. Much of that investment is directed toward building data centers and acquiring the computing power needed to support AI applications across Amazon\u2019s cloud and retail operations.\u200b <\/p>\n

On Wednesday, Amazon officially opened Project Rainier<\/a>, an $11 billion AI data center designed to train and run models from Anthropic, the startup behind the Claude chatbot. Amazon has invested $8 billion in Anthropic<\/a> and announced that the company plans to use 1 million custom Amazon Trainium2 chips by the end of 2025.\u200b<\/p>\n

Just days before the earnings report, Amazon confirmed it would eliminate approximately 14,000 corporate positions<\/a>,. During the call, Jassy addressed the cuts, describing them as driven by a desire to operate with \u201cfewer layers and more ownership\u201d rather than by financial pressures or AI automation. However, a memo sent to affected employees cited AI as \u201cthe most transformative technology we\u2019ve seen since the Internet,\u201d stating it enables companies to innovate faster than before. Despite the workforce reductions, Amazon shares surged more than 13% in after-hours trading<\/a> following the earnings announcement, reflecting investor optimism about the company\u2019s cloud acceleration and AI momentum.<\/p>\n","protected":false},"excerpt":{"rendered":"In case you were unsure about Amazon\u2019s ability to monetize artificial intelligence, \u201cthe everything store\u201d assigned a staggering…\n","protected":false},"author":2,"featured_media":117996,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[220,3468,52875,218,219,3781,222,61,60,507,80],"class_list":{"0":"post-117995","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-artificial-intelligence","8":"tag-ai","9":"tag-amazon","10":"tag-andy-jassy","11":"tag-artificial-intelligence","12":"tag-artificialintelligence","13":"tag-chatbots","14":"tag-earnings","15":"tag-ie","16":"tag-ireland","17":"tag-shopping","18":"tag-technology"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/117995","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/comments?post=117995"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/117995\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media\/117996"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media?parent=117995"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/categories?post=117995"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/tags?post=117995"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}