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Anthropic raises an additional $4B from Amazon, makes AWS is 'primary' training partner | TechCrunch

Nov 22, 2024 - techcrunch.com
Anthropic, a rival to OpenAI, has secured an additional $4 billion investment from Amazon, bringing the tech giant's total investment in the firm to $8 billion. As part of the agreement, Anthropic will primarily use Amazon Web Services (AWS) to train its AI models and is collaborating with Annapurna Labs, AWS’ chipmaking division, to develop future generations of Trainium accelerators. Amazon insisted that Anthropic use Amazon-developed silicon hosted on AWS for AI training, despite Anthropic's preference for Nvidia chips.

Anthropic has raised a total of $13.7 billion in venture capital to date. The company is also working with AWS and Palantir to provide U.S. intelligence and defense agencies access to its Claude family of models. Amazon is reportedly planning to replace the models powering its virtual assistant, Alexa, with Anthropic's models due to technical challenges. The FTC has asked Amazon, Google, and Microsoft to explain the impact of their investments in startups like Anthropic on the competitive landscape of generative AI.

Key takeaways:

  • Anthropic has raised an additional $4 billion from Amazon, bringing Amazon's total investment in the company to $8 billion. This maintains Amazon's position as a minority investor.
  • Anthropic has agreed to make Amazon Web Services (AWS) the primary place it will train its generative AI models and is working with Annapurna Labs, AWS' chipmaking division, to develop future generations of Trainium accelerators.
  • Anthropic's Claude family of models are being used by tens of thousands of companies through Amazon Bedrock, AWS' platform for hosting and fine-tuning models. They have also teamed up with AWS and Palantir to provide U.S. intelligence and defense agencies access to Claude.
  • Amazon is reportedly set to replace the in-house models powering Alexa, its virtual assistant, with Anthropic's after encountering technical challenges. Google and Microsoft have also invested in Anthropic, with Google investing $2 billion in the company last October.
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