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Amazon's Bet on Anthropic

Yesterday, Amazon added $2.75B to its investment in Anthropic, bringing its total investment in the artificial intelligence startup to $4B. The news marks the biggest investment Amazon has made in another company since its founding and represents its latest effort to compete with Microsoft and Google on AI.

Anthropic—founded in 2021 by former OpenAI employees—is the San Francisco-based company behind ChatGPT competitor Claude. Earlier this month, the company unveiled the latest iteration of its chatbot, Claude 3, which the company says can outperform GPT-4 on math and reasoning. As part of yesterday’s deal with Amazon, Anthropic has agreed to use special computer chips designed by Amazon. Anthropic will also provide special access to Claude 3 and other AI models to customers of Amazon’s $90B cloud computing business

Anthropic is led by two siblings who say they seek to create AI aligned with human values. See more on the founders here.

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