Amazon strengthens its focus on AI with the addition of Andrew Ng to its board, while former MTV executive McGrath prepares to step down
If the decisions made by corporate boards of directors can indicate where a company wants to be focusing, Amazon’s board just made an interesting move. The company announced on Thursday that Andrew Ng, known for building AI at large tech companies, is joining its board of directors. The company also said that Judy McGrath — best known for her work as a long-time TV executive, running MTV and helping Viacom become a media powerhouse — will be stepping down as a director.
Taken together, the two moves sketch out an interesting picture of the tech giant’s intentions.
After many costly years of going all out on building an entertainment empire (Amazon spent almost $19 billion on its video and music business in 2023), it’s interesting to see that McGrath, who would have been an important advocate and adviser on that strategy, is not going to stand for reelection.
That’s not at all to say that Amazon will cease to be a huge force in streaming entertainment, be it video, music, gaming or anything else. The company is now folding in advertising across Prime Video, which is one big reason it may want to keep its audience happy and coming back.
Still, it will be interesting to see how investments play out in that segment in 2024. The company has laid off hundreds of employees in its studio and video divisions, and it has also been winding down Prime Video in some regions, which may indicate that the business could be smaller, or at least more focused, going forward. And given the AI whiplash that every Big Tech company is currently dealing with, it feels timely that McGrath is stepping away from the board now.
On that note, to stay at the forefront of tech, Amazon will be looking for better thought leadership on the next steps in its artificial intelligence strategy.