Amazon announces USD4B investment in startup Anthropic
Date
11/24/2024 3:11:34 AM
(MENAFN) As competition among major tech companies to dominate the artificial intelligence sector intensifies, Amazon is making a significant move with a new USD4 billion investment in the startup Anthropic. This increases Amazon's total investment in the company to USD8 billion, marking a notable commitment to the rapidly growing AI space.
Amazon’s decision to double its investment in Anthropic comes at a time when regulatory scrutiny is mounting, particularly in the US, UK, and EU. Concerns have been raised that partnerships between large tech companies and leading AI startups may pose anti-competitive risks, leading to increased oversight. For instance, the UK’s competition authority recently reviewed Google’s deal with Anthropic but decided not to pursue further investigation at this stage.
The deal is being described by the Financial Times as Amazon’s largest investment venture to date. The tech giant initially invested USD1.25 billion in Anthropic in September of the previous year, later increasing that amount to USD4 billion in March. With this latest funding, Amazon's total investment in the San Francisco-based startup now stands at USD8 billion. This new investment comes as part of a broader partnership between the two companies, which was announced in September.
Founded by former researchers from OpenAI, Anthropic has gained attention for its AI chatbot, Claude, which is reported to outperform OpenAI’s GPT-4 in several industry benchmarks. The company has already received a significant USD2 billion investment from Google, further highlighting its growing prominence in the artificial intelligence field.
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