Amazon (AMZN, Financial) is taking Alexa to the next level with Alexa , a new AI-powered version of its popular voice assistant. At an event in New York on Tuesday, the company showed off a smarter, more conversational, and personalized Alexa, capable of handling everything from booking reservations and ordering concert tickets to texting babysitters and managing smart home devices.

"The rearchitecture of all of Alexa has happened," said Panos Panay, Amazon's Senior VP of Devices and Services. "We're pumped about it." Panay explained that Alexa+ now integrates seamlessly with your schedule, smart home devices, entertainment, and apps. "It knows almost every instrument in your life—and brings them together."

Alexa+ isn't just smarter—it also has a new look, a refreshed voice, and a smart home widget. Plus, it can now process handwritten and text-based documents, including PDFs.

For families, Mara Segal, Director of Alexa, introduced two fun features for kids: Explore and Stories with Alexa. Explore answers questions and offers riddles, while Stories with Alexa creates personalized bedtime stories.

The upgrade could be a big win for Amazon, as Alexa usage grew 20% in 2024 compared to 2023, according to Panay. Meanwhile, Amazon CEO Andy Jassy revealed that tens of millions of people are using Rufus, Amazon's AI shopping assistant, and the company has over 1,000 generative AI applications in development.