Amazon announced its long-rumored $999 Astro home robot on Tuesday. I had a chance to check it out in a demo with Amazon last week and wanted to share a few thoughts on what Astro is, what it can and can’t do and why Amazon decided to build a home robot.
Astro seems like a strange gadget for Amazon to launch. The company is best known as an online store. And most of its operating profit comes from its AWS cloud business. Notably, Astro is a “Day 1 Edition” product, which means it won’t be sold to everyone at first. Instead, Amazon will ask people to sign up and then invite them to order the robot. That allows Amazon to avoid building too many gadgets it won’t sell and a public flop like the Amazon Fire Phone that was discontinued in 2015.
Amazon said Astro will go on sale later this year but did not give a specific launch date. (It’s worth noting that Amazon has made similar promises about future products that either never launched or were severely delayed.)
So, why robots?
Amazon Astro home robot
Todd Haselton | CNBC
“We get together every once in a while and we organize a senior team meeting around ‘what are some of the changes in technology?'” Amazon’s vice president of product Charlie Tritschler told me. “And we talked about AI and processors getting more powerful and inevitably robotics came up. And one of the discussions was: ‘Does anyone here in this meeting think that in 5-10 years there won’t be more robots in your home?’ And everyone was like ‘well yeah, of course.’ It’s like, well then let’s going.”
Tritschler said Astro brings together a lot of what Amazon already offers in other products.
“We’ve got a decade-plus with what we’ve done in fulfillment centers,” Tritschler said of the company’s industrial robots that cart products through its warehouses. “But then all of the things we’ve done in devices and Amazon Prime Video and Alexa and home monitoring, and we had so many things we could pull together.”
That’s a good representation of what I saw in the demo.
Amazon’s Astro robot
What is Astro?
Astro is about the size of a small dog. It roams around your house on three wheels, including two big ones that prevent it from getting stuck and a smaller one for rotating. It has a camera that rises up on a 42-inch arm that can keep an eye on your home as Astro patrols while you’re away. It can follow you around and play music or display TV shows on its 10-inch touchscreen. It can recognize faces (if you want it to) so you can load up two sodas in the back storage compartment and tell Astro to go to someone in the living room.
Astro is like a combo of lots of Amazon’s other gadgets placed on wheels. The cameras can be used for home security or for video chat, sort of combining Amazon’s Ring cameras with its Echo Show smart screens. The cameras are also used to create a map of your house when you set Astro up for the first time. You can talk to Astro much like you’d talk to an Echo or Alexa (you can change the name to Alexa if you want) to get sports scores or the weather. And you can play movies or TV shows like you would on an Amazon tablet or Fire TV.
Astro can carry things in this cubby. You can also add accessories, like a cupholder or an Omron blood pressure monitor.
Todd Haselton | CNBC
I also saw how you can control Astro remotely from a phone app, which is useful if you want to keep an eye on a loved one who lives alone, like an aging family member. Tritschler told me Amazon will also sell a third-party insert made by Omron that fits into the back storage compartment and can hold a blood pressure cuff. That will allow folks to control Astro remotely and remind people who live alone to check their blood pressure, which seems useful and opens Astro up to an audience outside of just gadget-geeks who want a home robot.
But Astro doesn’t have arms or hands so, it can’t pick things up. It’s not quite the level of Rosie from “The Jetsons” TV show. (Speaking of that show, Astro is not named after the Jetsons’ dog. Early testers just preferred that name over others.) It also can’t go up or down stairs, so it’s really only good for one floor of a house.
“Wouldn’t it be nice if manipulation could do more? Could you have an arm that picks things up off the floor or tidies up or brings you drinks? But when we looked at technologies and the cost and complexity of those technologies today, and reliability at the consumer level, they’re just not there yet,” Tritschler said. “And we realized, hey, this is a journey, we don’t have to do everything in the first product. So we focused here on mobility, intelligent motion, visual ID, and some of the other really tough challenges we had to overcome.”
The periscope camera that rises out of the Amazon Astro robot.
Todd Haselton | CNBC
I’m torn on how I feel about the Astro.
On one hand, wow, it’s cool that we finally have a home robot, even if it can’t clean up and bring me stuff from the fridge. On the other, I can’t really think of many reasons why I’d need one in my house at its current price, other than as a conversation starter or for home security since a roaming robot seems like it would be effective.
I think Astro will be most compelling for people who want to keep an eye on loved ones who live alone, and who might find it useful to call over a robot with their medicine inside, or a blood pressure monitor sitting in its cubby.
Sensors on the front of the Astro robot help it avoid running into stuff.
Todd Haselton | CNBC
Tritschler said Amazon is bullish on robots, though, and made it clear this is just the first one. Amazon has a lot of ideas on how to make them even better. I knocked the Amazon Echo when it first launched in 2014. Now millions of people have one in their homes. Maybe the same will be true for Astro in 10 years. That’s Amazon’s goal.
The logo of Japanese company SoftBank Group is seen outside the company’s headquarters in Tokyo on January 22, 2025.
Kazuhiro Nogi | Afp | Getty Images
A sector-wide pullback hit Asian chip stocks Friday, led by a steep decline in SoftBank, after Nvidia‘s sharp drop overnight defied its stronger-than-expected earnings and bullish outlook.
SoftBank plunged more than 10% in Tokyo. The Japanese tech conglomerate recently offloaded its Nvidia shares but still controls British semiconductor company Arm, which supplies Nvidia with chip architecture and designs.
SoftBank is also involved in a number of AI ventures that use Nvidia’s technology, including the $500 billion Stargate project for data centers in the U.S.
South Korea’s SK Hynix fell nearly 10%. The memory chip maker is Nvidia’s top supplier of high-bandwidth memory used in AI applications. Samsung Electronics, a rival that also supplies Nvidia with memory, fell over 5%.
Taiwan’s Hon Hai Precision Industry, also known as Foxconn, which manufactures server racks designed for AI workloads, dipped 4%.
The retreat in major Asian semiconductor giants comes after Nvidia fell over 3% in the U.S. on Thursday, despite beating Wall Street expectations in its third-quarter earnings the night before.
The company also provided stronger-than-expected fourth-quarter sales guidance, which analysts said could lift earnings expectations across the sector.
However, smaller chip players in Asia were not spared either.
In Tokyo, Renesas Electronics, a key Nvidia supplier, fell 2.3%. Tokyo Electron, which provides essential chipmaking equipment to foundries that manufacture Nvidia’s chips, was down 5.32%.
Another Japanese chip equipment maker, Lasertec, was down over 3.5%.
An electric air taxi by Joby Aviation flies near the Downtown Manhattan Heliport in Manhattan, New York City, U.S., November 12, 2023.
Roselle Chen | Reuters
Air taxi maker Joby Aviation in a new lawsuit accused competitor Archer Aviation of using stolen information by a former employee to “one-up” a partnership deal with a real estate developer.
“This is corporate espionage, planned and premeditated,” Joby said in the lawsuit filed Wednesday in a California Superior Court in Santa Cruz, where the company is based.
Archer and Joby did not immediately respond to CNBC’s request for comment.
The lawsuit alleges that former U.S. state and local policy lead, George Kivork, downloaded dozens of files and sent some content to his personal email two days before he resigned in July to take a job at Archer, which had recruited him.
By August, Joby said a partner that worked with Kivork said it had been approached by Archer with a “more lucrative deal.” Joby alleges that the eVTOL rival’s understanding of “highly confidential” details helped it leverage negotiations.
Joby also said the developer attempted to terminate the agreement, citing a breach of confidentiality.
Read more CNBC tech news
Kivork refused to return the files when Joby approached him after conducting an investigation, according to the suit. The company also said Archer denied wrongdoing, and would not disclose how it learned about the terms of the agreement or provide results from an internal investigation it allegedly undertook.
The lawsuit comes during a busy period for electric vertical takeoff and landing (eVTOL) technology as companies race to gain Federal Aviation Administration certification to start flying commercially. ‘
Joby argued in the complaint that it’s “imperative” to protect Joby’s work “from this type of espionage” to promote the sector’s success and ensure fair competition.
Last week, Joby said it completed its first test flight for a hybrid aircraft it’s working on with defense contractor L3Harris. This month, Amazon-backed Beta Technologies, another electric flight company, also went public on the New York Stock Exchange.
Joby shares have more than doubled over the last year, while Archer is up about 68%.
In August 2023, Archer settled a previous legal dispute with Boeing-owned Wisk Aero over the alleged theft of trade secrets. As part of the deal, Archer agreed to use Wisk as its autonomous tech partner.
Every weekday, the CNBC Investing Club with Jim Cramer releases the Homestretch — an actionable afternoon update, just in time for the last hour of trading on Wall Street. Markets : There was an ugly reversal in the market Thursday. Stocks soared for most of the morning in reaction to Nvidia ‘s strong quarter, bullish outlook on AI spending, and pushback that customers weren’t generating a sufficient return on their investment. Nvidia shares climbed as high as $196 on Thursday — a roughly 5% gain — and its gravitational pull helped lift other technology and AI-adjacent industrial stocks. The market’s gains pushed the S & P 500 into positive territory for the week. However, around 11 a.m. ET, the market began to fall rapidly, with technology and industrial names leading the decline. Nvidia gave up all of its gains and dropped 2%. Bitcoin hit its lowest level since late April. Notable defensive stocks like consumer staples held onto their gains, though. That resilience reinforces our decision to diversify further, which we did earlier this week , by adding Procter & Gamble to the portfolio. The S & P 500’s decline has pushed the index back toward the lows of its recent downturn, marking a roughly 5% pullback from its high. It remains to be seen whether Thursday’s reversal is a sign of investors continuing to retreat from risk assets or simply a retest of the recent downdraft. But Nvidia’s earnings report gave zero indication of a slowdown in demand for AI compute. Interest rate cut: Expectations for a 25-basis-point rate cut at the Federal Open Market Committee’s next meeting in December continue to fluctuate. One month ago, a rate cut seemed like a sure thing with a 98.8% probability, according to the CME FedWatch Tool . But the odds dropped to about 50% a week ago after a slew of hawkish commentary from Federal Reserve members. On Wednesday, the odds of a cut plummeted to 30% after the release of the October Fed minutes, which showed that the central bank was hesitant to lower rates again this year. But after the long-delayed September jobs data finally came out Thursday, the probability of a 25-basis-point reduction jumped to 40%. Although the economy added 119,000 jobs in September, more than double the forecasted figure, the unemployment rate ticked higher. The Fed is in a bind, trying to balance a softening labor market against the risk that a rate cut could reignite inflation. Up next: Gap, Ross Stores , Intuit , and Veeva Systems report after the closing bell. BJ’s Wholesale Club will post results Friday morning. On the economic data side, tomorrow we’ll get November’s S & P Global Flash PMI for Manufacturing and Services, along with the University of Michigan’s consumer sentiment survey. (See here for a full list of the stocks in Jim Cramer’s Charitable Trust.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust’s portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.