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Amazon's investments in Anthropic are now worth a cool $14 billion

Feb 21, 2025 - businessinsider.com
Amazon's investment in the AI startup Anthropic has significantly increased in value, with the company's stake estimated at $14 billion by the end of December, up from an initial $8 billion. This represents a 75% increase, translating to a $6 billion gain on paper. Amazon has invested $1.25 billion in September 2023, $2.75 billion in early 2024, and an additional $1.3 billion later that year, with plans to invest another $2.7 billion by the end of 2025. The investments were made using convertible notes, classified as "Level 3" assets, which rely on significant judgment and assumptions due to the speculative nature of startup valuations.

Anthropic, known for its Claude AI models, is raising funds at a $60 billion valuation, a substantial increase from the previous year's $18 billion. The partnership between Amazon and Anthropic includes the use of Amazon's cloud services and AI chips, with plans for Anthropic to utilize a new AI supercomputer composed of Amazon-made chip clusters. Amazon's total investment value in public and private companies was $22.1 billion at the end of December, with other private investments including Scale AI, Hugging Face, and X-energy.

Key takeaways:

  • Amazon's investment in Anthropic has increased in value from $8 billion to $14 billion, marking a 75% gain since 2023.
  • Amazon has invested a total of $8 billion in Anthropic, with plans to invest an additional $2.7 billion by the end of 2025.
  • The investments are made through convertible notes, classified as "Level 3" assets, which involve significant judgment and assumptions.
  • Anthropic is raising funds at a $60 billion valuation and has a close partnership with Amazon, utilizing its cloud services and AI chips.
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