Amazon is set to unveil its long-awaited generative AI-powered Alexa, with a preview event scheduled for 26 February in New York. The update marks the most significant overhaul since the voice assistant's launch in 2014, aiming to improve user interactions with advanced AI-driven conversations. A final decision on the product's readiness is expected at an internal meeting on 14 February.

The new AI capabilities will allow Alexa to handle multiple requests in sequence and act on behalf of users without direct input. While initially free for a limited number of users, Amazon is considering a monthly subscription fee of$5 to$10. The company will continue offering the existing version, known as Classic Alexa, though it has reportedly stopped adding new features to it.

Despite Alexa's early success, usage has remained limited due to a lack of major updates in recent years. The generative AI revamp is designed to make Alexa more useful for tasks like shopping, scheduling, and entertainment. Analysts suggest that even a fraction of users subscribing to the service could generate significant revenue for Amazon.

The update will rely on AI software from Anthropic, a startup backed by Amazon's$8 billion investment. Previous attempts to launch an improved Alexa were delayed due to concerns over accuracy and performance. With the upcoming release, Amazon hopes to re-establish Alexa as a key part of everyday digital interactions.