Amazon’s second-generation earbuds have noise-cancelling and hands-free Alexa.
3 min
I’ve worn earbuds more over this past year than any other. Between video calls and workouts at home, it felt like I was constantly putting some sort of implement in my ear.
Wireless earbuds have become essential—as has noise-cancelling technology to drown out the sounds of housemates. If you’re looking for a new pair, and are leery of dropping $399 on Apple’s shiny Pro ’pods, consider Amazon’s recent update to its Bluetooth buds.
The Echo Buds come in white or black. PHOTO: NICOLE NGUYEN/THE WALL STREET JOURNALThe second-generation Echo Buds have active noise cancellation and built-in, hands-free Alexa. They’re smaller and sound better than the previous model—and they’re cheaper too.
The price—$120, or $140 with a wireless charging case—is why these headphones are worth your attention. Noise-cancelling earbuds from companies like Apple, Samsung and Bose all cost over $200. For significantly less, Amazon’s set offers similar audio quality and sound-blocking cancellation, with some trade-offs.
Active noise-cancelling doesn’t only seal out sound; it uses microphones to listen to ambient noise, then generates opposing sound waves to eradicate it. (If it helps, think of lining peaks with troughs, and troughs with peaks.) Good noise cancelling is difficult to do, especially in small, marble-size earbuds.
The AirPods Pro are my gold standard. They can’t isolate sound like bulkier over-ear headsets, but they successfully reduce daily din to levels that allow me to concentrate. During indoor and outdoor testing, I was surprised how well the Echo Buds 2 active noise cancellation held up in comparison—and for $130 less.
Outside, the grumble of passing trucks and the howling wind were imperceptible. Inside, I could hear my husband on his video call, until I put on music. Then, his voice faded into the background.
Noise-cancelling has to start with a secure seal. A range of ear-tip sizes (S, M, L, and XL) plus three pairs of optional ear-support wings are included in the box. You can test the fit in the Alexa app. A chime plays and rates the quality of your seal. With the default medium tips installed, my fit was “good.” Adding wings bumped my grade to “great.” My ears did feel sore after wearing the buds all day. Downsizing to small tips eliminated the pain, but broke the seal.
To ensure a good fit, the earbuds come with different-size round ear tips and optional ear-support wings. PHOTO: NICOLE NGUYEN/THE WALL STREET JOURNALA snug fit also improves the audio experience. Modern pop such as Griff’s “Black Hole” and classics like The Clash’s “Should I Stay or Should I Go” sound great in the Echo Buds. The bass is particularly punchy, and the treble is clean. Competitors I’ve tested do produce more balanced audio, but at a much higher price.
The Echo Buds’ feature set is generally on par with competitors’. I got an industry-standard 5 hours and 15 minutes of battery life, with noise cancelling on and music playing. When you’re on the phone, an adjustable “sidetone” allows you to hear your own voice. There are programmable tap controls: a single tap can pause media, while a double-tap answers a call.
In other respects, the earbuds don’t meet the mark in the same way pricier buds do. For one, the important “pass through” mode—which allows you to hear outside sounds clearly while wearing the headphones—produces a noticeable, unnatural hissing.
You can only use Alexa hands-free while the buds are connected to a phone with the Alexa app. And while the assistant was fine at recognizing my voice, and telling me the weather outside or the date, Alexa had some trouble with other requests: “Set a timer for one minute” consistently yielded a “Sorry, I’m having trouble” response. An Amazon spokesman said the Echo Buds team wasn’t aware of the bug or how to fix it.
I often recommend that people get earbuds made by the same maker of their devices. They’re often optimised for connection reliability and pairing. But at this price, the new Echo Buds are a tempting proposition.
And if past Amazon deals are any indication, they’ll probably be even cheaper when Prime Day rolls around.
Reprinted by permission of The Wall Street Journal, Copyright 2021 Dow Jones & Company. Inc. All Rights Reserved Worldwide. Original date of publication: May 23, 2021.
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AI-powered travel agents are challenging online booking platforms, but Airbnb’s exclusive listings and direct customer relationships could give it an edge. Its next challenge: turning repeat guests into loyal customers through stronger rewards and innovation.
3 min
AI agents like Muse can already find you the cheapest hotel room in Paris. But they can’t locate a cheaper version of that Catskills cabin you’ve been eyeing, because it might only be available on Airbnb ABNB -1.43%decrease.
Investors should pay attention to that distinction. When Meta Platforms META 3.38%increase launched its Muse agent last month, travel stocks including Booking Holdings BKNG -1.19%decrease, Expedia and Airbnb all fell sharply.
Airbnb, though, has a real chance to emerge as a winner from the upheaval. The catch: Its stock already reflects above-industry growth. To justify its valuation, Airbnb will need to turn repeat customers into loyal ones.
Online travel companies make much of their money by simplifying search and collecting fees on bookings. AI agents threaten that model.
But not all travel marketplaces are equally exposed. Booking and Expedia largely sell hotel rooms that travelers can also book directly or through competing sites. If an agent can find the same room elsewhere, it has little reason to favor either Booking or Expedia.
Booking and Expedia also sell sponsored listings that steer travelers toward particular properties. Wells Fargo estimates those will account for about 8% of Expedia’s revenue and a much higher percentage of profit next year.
Airbnb has more ways to adapt. More than half its listings are available only on its platform, and more than 90% of its traffic comes directly to its app or website.
The customer relationship doesn’t end after booking, either. Bernstein analyst Richard Clarke notes that 90% of Airbnb guests go on to message their hosts about arrival times, keys or local taxes, giving Airbnb a connection to both sides of the transaction.
How the companies have responded to the possible agentic future is telling.
Expedia quickly signed on as a Muse partner. Airbnb hasn’t, and Chief Executive Brian Chesky says AI chatbots have so far been a boon, sending customers to Airbnb’s website.
Chatbots might work for buying paper towels, he quipped at a Skift conference last month, but people enjoy planning trips. He argued that browsing dozens of homes isn’t something a text-based chatbot is well suited for.
Still, the AI jitters arrived just as Airbnb was persuading investors it deserved its pricey multiple. For years after its 2020 initial public offering, the stock—which trades around 25 to 30 times forward earnings—went nowhere. Investors saw a mature operator trading at a growth premium.
This year, Airbnb growth seems to be accelerating. The stock jumped in August after the company raised its full-year revenue-growth guidance with its second-quarter results. Wells Fargo analyst Ken Gawrelski credits a run of product improvements under a revamped leadership team.
Among the changes: letting guests reserve now and pay later, adding hotels, and a redesigned home page and app. Investors were also betting on what comes next, including thousands more hotels, car rentals and, eventually, advertising.
The irony is that some of those growth drivers push Airbnb closer to the kind of business Booking and Expedia run—the kind of business AI agents could threaten. Even if AI agents capture a large share of travel planning and booking, Airbnb would capture the demand. But it and others would slowly lose control over how customers find and choose properties.
That would undermine the advertising opportunity investors are counting on. The bigger point for Airbnb and other marketplaces is that losing control of customer acquisition could mean surrendering some of their pricing power and margins.
To bulletproof itself, Airbnb might look to another e-commerce giant that has so far kept AI agents at arm’s length: Amazon.
Like Amazon, Airbnb has a loyal customer base and hard-to-match supply. But it has nothing like Prime membership to make customers think twice before taking their business elsewhere.
That is where loyalty comes in. Business travelers stick with Hilton or Marriott because enough nights earn them perks. Leisure travelers rarely accumulate stays with one chain. Airbnb has millions of listings and plenty of repeat customers, but no broad rewards program. It has begun experimenting with credits on hotel stays, but it should make loyalty a priority, not just a promotion.
Airbnb also plans to launch its own AI agent next year. But travelers using an agent might still want it to search Airbnb, Vrbo, Booking and hotel websites alike, rather than limit itself to one company’s inventory.
Eventually, Airbnb might have to strike deals with agent makers, using its unique homes as leverage to negotiate favorable terms, says Gawrelski. Such deals, along with rewards for loyal guests, could over the long term eat into the company’s roughly 13% take rate, he adds. But if they bring in enough additional bookings, the trade-off could be worthwhile.
History offers a reason not to panic. The shift from desktop to mobile unsettled investors in Alphabet and Amazon, but both emerged as major beneficiaries. Companies with valuable assets can come out of a platform shift stronger, if they adapt quickly enough.
Airbnb has homes the bots can’t easily replace. Now it needs to give guests a reason to insist on booking them there.
