Amazon.Com, Inc (NASDAQ:AMZN) stock has been volatile Friday amid reports of TikTok throwing up a challenge to Amazon with a new e-commerce initiative.
TikTok has confirmed testing a new in-app “Trendy Beat” shopping section offering products for sale that are shipped and sold by a subsidiary of its parent company, ByteDance Ltd, TechCrunch reports.
TikTok is currently testing the feature in the U.K. The shopping section offers popular items that have appeared in trending videos, such as tools to extract ear wax.
TikTok focused on adding new merchants to its TikTok Shop offering in the U.S., letting brands sell items on the platform.
TikTok filed a trademark application in the U.S. for Trendy Beat in May, which listed apparel items like dresses, scarves, hats, footwear, bathing suits, sleep masks, sweaters, skirts, shirts, suits, and more.
ByteDance’s plan to start selling its products in the video app dubbed “Project S” leverages TikTok’s knowledge of products gaining popularity.
The new model sees TikTok operating an e-commerce model similar to how Amazon Basics and Shein promote and sell their bestselling products.
Separately, Amazon Web Services earmarked $100 million for a center to help companies leverage generative artificial intelligence.
Amazon proposed adding data scientists, engineers, and solutions architects to the payroll.
AWS said the center is already working with Highspot, Twilio Inc (NYSE: TWLO), Ryanair Holdings Plc (NASDAQ:RYAAY), and Lonely Planet.
The company said it is a “program” rather than a physical center.
Amazon held $64.4 million in cash and equivalents as of March 31.
Price Action: AMZN shares traded higher by 0.19% at $130.40 on the last check Friday.
Photo via Wikimedia Commons
