Amazon Devices Chief Says Tariffs Have Had Small Impact

(Bloomberg) -- Amazon.com Inc.’s hardware chief David Limp said that the U.S. government’s tariffs on goods imported from China have had a "small" impact on the company’s devices.

Not all the discussed tariffs have kicked in yet, but Limp said that if they continue, that will be bad for customers. Amazon prices its devices, including Echo speakers and Fire tablets, as low as possible, and tariffs are a headwind to that strategy, the executive added.

During a talk in Laguna Beach, California at the Wall Street Journal’s technology conference, Limp also weighed in on Amazon’s new campuses announced on Tuesday. He said the decision was a "data-driven" choice, but gut feeling also played a part. The locations are prime recruiting centers and places people want to live, he added. There will be a staff meeting this week to determine how employees in his organization fit into the new campuses.

Limp also touched on privacy, saying that companies "can’t take security and bolt it on at the end of the process" of developing a device. "We think about security at the foundation of the product," he said, adding that while Amazon uses consumer data internally, it doesn’t sell it.

Earlier this year, Limp announced a range of new devices that work with Amazon’s Alexa digital assistant, including a microwave, a device for cars, and louder speakers.

To contact the reporter on this story: Mark Gurman in San Francisco at mgurman1@bloomberg.net

To contact the editors responsible for this story: Alistair Barr at abarr18@bloomberg.net, Emily Biuso

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