Amazon (AMZN) Invests $4 Billion in AI Firm Anthropic
Amazon Inc (AMZN) is investing an additional $4 billion in AI startup Anthropic, a direct rival of AI powerhouse OpenAI. According to a Friday announcement, the two companies are continuing their partnership through funding after a previous $4B investment earlier this year by Amazon. Anthropic uses Amazon Web Services data centers for some of its computing needs, as well as AWS-designed AI chips. According to a press release Friday by Anthropic, the latest investment “establishes AWS as our primary cloud and training partner.” Additionally, the startup plans to use Amazon’s AI chips to develop its most advanced models. Amazon’s initial additional investment will be $1.3 billion, with the rest to follow in the form of convertible notes. Amazon’s total investment in Anthropic sits at $8 billion, making them a minority investor. What is Anthropic, Amazon’s Latest AI Venture? Anthropic was founded in 2021 by former employees of OpenAI, quickly becoming one of the ChatGPT d...