Amazon invests $4bn in ChatGPT rival Anthropic; Details inside

amazon invests 4bn in chatgpt rival anthropic details inside

Amazon, an American multinational technology company, has planned to invest $4 billion in the United States artificial intelligence (AI) start-up and ChatGPT rival company Anthropic. This investment can mean a lot amid technological advancement

The American company aims to strengthen its position in the world, especially after the boom in AI technology. 

Anthropic-Amazon deal

Anthropic is an artificial intelligence startup by America. It is founded by former members of OpenAI, the company that launched ChatGPT. After investing money in this startup, Amazon will get a minority ownership of Anthropic. 

Under the agreement, Anthropic will also move its software to Amazon Web Services (AWS) data centers. Anthropic will also conduct safety research and future foundation model development research.

Anthropic will use AWS’ chips for future foundation model development. AWS’ Trainium and Inferentia chips will be helpful to the American startup.

In the future, Anthropic and Amazon will also cooperate for the future development of Trainium and Inferentia technology.

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With the help of this investment from Amazon, Anthropic will get the fund to train its AI models. Those models can perform work like human intelligence with the help of the latest iteration of AI technology.

Andrew R. Jassy, the CEO of Amazon, said, “We believe we can help improve many customer experiences, short and long-term, through our deeper collaboration.”

Anthropic PBC

Anthropic PBC raised around US$1.5 billion in funding by July. The company aimed to develop general AI systems and language models. 

Dario Amodei and Daniela Amodei, the founders of Anthropic PBC, were seeking further funding to train the AI models. After the investment, Anthropic PBC will expand its support for Amazon Bedrock.

AI expansion

In recent months, many companies have adopted AI in work. Various companies have used AI tools to support their operations and serve their customers.

Big tech players like Microsoft and Google have also understood the importance of AI. Earlier this year, Microsoft announced the third phase of its investment worth $10 billion in OpenAI, one of the most famous American artificial intelligence companies.



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