The e-commerce giant Amazon announced the strategic investment of up to $4 billion in the AI startup Anthropic, gearing up to compete against Microsoft, Meta, Google and Nvidia in the booming AI sector.
After this partnership, Anthropic will mostly shift its software to Amazon Web Services data centres. Also, it will use the cloud computing company’s indigenous chips to train models its users to develop chatbots and other applications. Anthropic is the founded by former OpenAI employee.
As per the announcement, at an early stage, Amazon will invest $1.25 billion in a minority stake in Anthropic. After that, Amazon will strategically invest in the startup up to $4 billion.
Earlier this year, Anthropic revealed its plan to fetch a $5 billion investment in the period of the next 2 years. The firm is also expecting Google to be an investor in its project.
However, the collaboration with Amazon will empower Anthropic to gather resources to build the next generation of AI models. However, Anthropic already rolled out its first consumer-facing premium subscription plan for chatbot Claude 2 plans to build a “frontier model” — tentatively called “Claude-Next”.
Amazon will also facilitate Anthropic with Amazon’s cloud giant AWS to handle critical workloads, including safety research and future foundation model development.
Furthermore, Anthropic will also use AWS Trainium and Inferentia chips for its future models.
Andy Jassy, chief executive at Amazon, said that their company can help “improve many customer experiences, short and long-term, through our deeper collaboration” with Anthropic.
This investment can affect FTX creditors, as the defunct crypto exchange and its sister, Alameda Research, invested $500 million in Anthropic. As of now, FTX has paused the the sale of stake.
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