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Amazon to Invest Up to $4 Billion in AI Startup Anthropic

  • Tieup could help Amazon become key player in generative AI
  • Anthropic gets funds for pricey process of training AI models

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WATCH: AWS CEO Adam Selipsky discusses the investment in Anthropic on “Bloomberg Technology.”Source: Bloomberg
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Amazon.com Inc. will invest as much as $4 billion in Anthropic, bagging a crucial partner in its effort to become a major player in generative artificial intelligence and offering a vote of confidence in the hot startup.

As part of the deal, Anthropic will move most of its software to Amazon Web Services data centers, and use the cloud computing company’s homegrown chips to train the models it uses to power chatbots and other applications. Besides getting access to Amazon’s computing power, Anthropic will gain a financial infusion that will help it pay the huge costs required to train and run massive AI models.