e-commerce

Perplexity AI accuses Amazon of “bullying” following a cease-and-desist letter demanding the startup prevent Comet users from making Amazon purchases. Amazon alleges computer fraud, claiming Perplexity lacks authorization and compromises user data. Perplexity argues Comet enhances shopping, while Amazon contends its agents degrade the experience. The dispute highlights tensions between tech giants and AI startups regarding platform integration, data security, and potential business model disruption, with Amazon developing its own AI shopping tools. The outcome could set precedents for AI integration in e-commerce.

Amazon has unveiled Blue Jay, a robotic system automating warehouse tasks by consolidating picking, sorting, and consolidating into a single, space-efficient workflow. Currently being tested, it handles 75% of stored items and aims to alleviate strenuous work for employees. Amidst automation efforts, Amazon faces scrutiny regarding potential job displacement, though they maintain it will lead to more rewarding roles and are offering mechatronics apprenticeships. They also introduced AR glasses for delivery drivers, enhancing safety and efficiency with visual and audio alerts.

EPWK (EPWK), a NASDAQ-listed creative design firm, will launch “EPWK Curated Goods,” an e-commerce platform for curated physical products catering to Chinese and English speakers, within three months. Targeting “Urban Life Explorers” aged 25-40, the platform focuses on products with emotional and aesthetic appeal, aligning with the “Neo-Pragmatism” consumer trend. Emphasizing “Good-looking, Good-to-use, and Good-surprise,” the platform aims to be a “Lifestyle Curator,” offering products that enhance daily life and express identity. EPWK leverages its creative ecosystem to drive innovation and global brand expansion. The existing platform has over 25 million registered users and facilitated $1.67 billion in GMV.

Alibaba is investing $53 billion in AI over three years, aiming to boost e-commerce operations and drive future growth. AI tools are being implemented across the platform, from personalized search to virtual try-ons. Early tests show a 12% increase in advertising returns with AI integration. Alibaba expects AI to significantly impact Singles Day sales, a crucial consumer spending event. Despite muted spending trends, last year’s Singles Day saw substantial growth, highlighting the importance of such events. Alibaba prioritizes AI and consumption investments for long-term success.

e.l.f. Cosmetics partners with Twitch and Amazon Ads to launch a shoppable in-stream experience, “eyes.lips.first.,” allowing viewers to purchase products directly through e.l.f.’s Twitch channel. This innovative approach makes e.l.f. the first cosmetics brand to integrate e-commerce directly into Twitch streams. The collaboration aims to capitalize on Twitch’s engaged audience, offering seamless product discovery and purchase opportunities. e.l.f.’s Patrick O’Keefe will discuss the partnership at TwitchCon San Diego 2025.

Honor is aggressively pursuing AI integration in its smartphones, aiming to become a top-three brand in China. Its new AI features, debuting on the Magic8, allow users to compare prices and find deals across e-commerce platforms, saving money. Honor is investing heavily in AI, envisioning a future where AI becomes the primary user interface, offering personalized services. Collaborations with Alibaba and others support this strategy, enabling features like smart photo suggestions and voice-activated taxi hailing. Honor’s long-term goal is to connect businesses with consumers via AI.

Google’s AI Mode is evolving to include visual search results, integrating image generation capabilities. This expansion, powered by Gemini 2.5 and other Google technologies, addresses queries better suited for visual answers, like shopping inspiration and interior design ideas. Users can refine results with follow-up prompts, tailoring visuals to their preferences. This move, driven by competition from AI alternatives, aims to enhance user experience and maintain Google’s leadership in the AI-driven search landscape, potentially impacting e-commerce and online advertising.

Pattern Group, an “ecommerce accelerator” for brands on marketplaces like Amazon, debuted on the Nasdaq (PTRN) with shares opening slightly below its $14 IPO price. The IPO raised $300M, valuing the company at $2.5B. Pattern, founded in 2013, helps brands optimize sales, reporting strong revenue growth in Q2 2024. However, the company relies heavily on Amazon (94% of 2024 revenue) and faces competition and risks associated with trade uncertainties, potentially impacting its future performance.

Amazon has upgraded its Seller Assistant, an AI agent for third-party merchants, with new “agentic capabilities” allowing it to execute actions with seller permission. This enhances operational efficiency, freeing sellers for strategic tasks. The tool, leveraging Amazon’s Bedrock, can manage inventory, create growth plans, and resolve account issues, potentially preventing suspensions. Over 1.3 million sellers use its listing tools, automating up to 70% of content. Amazon earns revenue from seller services, not direct AI tool charges, indicating a focus on platform enhancement and seller growth.

Douyin, the Chinese version of TikTok, is combating fraud targeting users of its mobile phone recharge service. A data leak stemming from vendor supply chain issues led to phishing scams where users were pressured to refund “errors.” Douyin has removed 25 non-compliant vendors, freezing their payments and blacklisting them. The incident highlights the need for stricter vendor due diligence, data security, and monitoring to maintain user trust and a secure e-commerce environment.