Amazon is building a secret Alexa AI agent called Moonraker, now Alexa+’s highest-cost initiative at over $100M in GPU spend

by | Jul 8, 2026 | Latest E-commerce News & Updates

Amazon is developing a previously unreported Alexa project codenamed Moonraker that would let the assistant complete several actions from a single request, according to internal documents reviewed by Business Insider. Moonraker would push Alexa+ deeper into the AI agent race, handling multistep tasks like ‘book me a ride and text my friend' rather than one command at a time, mirroring agentic products from OpenAI, Google, and Anthropic. One planning document called it Alexa+'s ‘highest cost' new initiative, projecting more than $100M in GPU costs in 2026 and floating a delay or scale-back to ease spending. Some Amazon leaders think the team overspent on the models powering Alexa, which runs partly on an Anthropic Sonnet model, a concern that fits a broader industry reckoning over the cost of deploying advanced AI.

Paul Drecksler is the founder and editor of Shopifreaks, covering the most important stories in e-commerce.

Companies: Amazon

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