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Nov. 22, 2024, 11:53 a.m.
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Amazon Boosts Investment in AI Startup Anthropic to $8 Billion

Anthropic, an artificial intelligence startup, announced on Friday that it received an additional $4 billion from Amazon. com, increasing the e-commerce giant's total investment to $8 billion, highlighting big tech's growing interest in generative AI. Despite the significant investment, Amazon will remain a minority investor. Its AWS division is set to be Anthropic's official cloud provider.

Anthropic is collaborating with AWS's Annapurna Labs to develop future generations of Amazon's Trainium chips and intends to use this hardware to train its foundational models. In September, Britain's competition regulator stated that Amazon's partnership with Anthropic would not undergo a deeper inquiry as it does not fall within its jurisdiction. Founded by former OpenAI executives and siblings Dario and Daniela Amodei, Anthropic received a $500 million investment from Alphabet last year, with a commitment for an additional $1. 5 billion over time.



Brief news summary

Anthropic, an artificial intelligence startup, announced a new $4 billion investment from Amazon, increasing the e-commerce giant's total investment to $8 billion. Despite this significant backing, Amazon will continue as a minority investor, with its AWS division serving as Anthropic's official cloud provider. The two companies are collaborating with AWS's Annapurna Labs to develop future generations of Amazon's Trainium chips. Britain's competition regulator stated in September that Amazon's partnership with Anthropic does not warrant further investigation. Anthropic, founded by former OpenAI executives Dario and Daniela Amodei, previously secured a $500 million investment from Alphabet, which has committed an additional $1.5 billion over time. This substantial investment underscores big tech’s increasing interest in generative AI technologies.

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