Amazon.com, Inc. (NASDAQ:AMZN) launched a new team within its consumer R&D division to focus on agentic artificial intelligence.

The Details: The agentic AI group will operate out of Lab126, Amazon's secretive Silicon Valley unit known for creating the Kindle, Echo and other flagship devices, according to CNBC.

As more tech firms move beyond generative AI toward autonomous agents, Amazon is developing systems that can handle complex, multistep tasks on behalf of users -- far surpassing traditional chatbots.

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The new team aims to build an agentic AI framework specifically for robotics, often described as "physical AI." These systems will allow robots to interpret and respond to natural language commands.

Earlier this year, Amazon's AI lab released a browser-based agent, and its cloud division has also set up a separate agentic AI team. In March, Amazon rolled out Alexa+, an upgraded voice assistant with expected agentic features.

Why It Matters: Analysts at BofA Securities on Monday named Amazon as a leader in AI and robotics. The firm emphasized that Amazon is still early in its robotics optimization cycle.

BofA analyst Justin Post reaffirmed a Buy rating on Amazon stock, raising the price target from $230 to $248, citing strengthened competitive positioning and improved profitability from ongoing AI and robotics investments.

Agentic AI is quickly becoming a core driver of enterprise automation and digital transformation. Amazon joins other tech giants including Salesforce and Microsoft in the agentic AI space.

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