Amazon escalates AI arms race with additional $4B investment in OpenAI rival Anthropic

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Tech,Amazon,Artificial Intelligence

Amazon, which is Anthropic’s primary cloud partner, is fiercely competing with Microsoft and Alphabet’s Google to offer AI-powered tools for its cloud customers.

Amazon will maintain its position as a minority investor and will be Anthropic’s main training partner for AI models, the startup said.

The e-commerce company’s increased investment in Anthropic underscores the billions of dollars funneled into AI startups over the past year, as investors look to capitalize on a boom in generative AI technology, which became popular with the launch of OpenAI’s ChatGPT in late 2022.Anthropic plans to train and deploy its foundational models on Amazon’s Trainium and Inferentia chips.

Britain’s competition regulator had said in September that Amazon’s partnership with Anthropic would not be referred for a deeper probe as it did not fall under its jurisdiction.Anthropic, co-founded by former OpenAI executives and siblings Dario and Daniela Amodei, said last year it had also secured a $500 million investment from Alphabet, which promised to invest another $1.5 billion over time.

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This Hacker Team Is Bulletproofing AI Models For Companies Like OpenAI And AnthropicSarah Emerson is a senior writer who reports on technology companies and culture in Silicon Valley. She's broken news about the empires of billionaires such as Eric Schmidt and fallen billionaire Ryan Breslow. Sarah has also followed the trends and ideologies shaping today's AI zeitgeist.
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