Amazon Doubles Investment to $8 Billion in OpenAI Rival Anthropic, Naming AWS Primary Cloud Partner

Nov 22, 2024, 03:45 PM

Amazon has announced an additional $4 billion investment in Anthropic, an artificial intelligence startup founded by former OpenAI executives, bringing its total investment to $8 billion—the largest external investment in Amazon's history while maintaining a minority stake. As part of the deal, Anthropic will make Amazon Web Services (AWS) its primary cloud and training provider, utilizing AWS's Trainium and Inferentia chips to train and deploy its AI models, including its flagship Claude model, which competes with OpenAI's offerings. This move positions Amazon as a significant player in the AI race against rivals and may impact Nvidia, as Anthropic shifts from using Nvidia GPUs to Amazon's in-house chips.