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Amazon’s surprising $4 billion AI gamble: Chose AWS as its platform

Technology: Amazon has further solidified its commitment to artificial intelligence by investing $4 billion in AI startup Anthropic. This bold move further strengthens the collaboration between the two companies, with Anthropic choosing Amazon Web Services (AWS) as its main platform to advance its AI model development and training.

Anthropic will leverage AWS’s cutting-edge Trainium and Inferentia chips to improve its bedrock models, which rely on massive datasets to operate effectively. This partnership, which is the core of their previous agreement, establishes AWS as Anthropic’s top cloud provider, strengthening their technology bond.

AWS’s technology leader highlighted the impressive growth of generative AI applications using Anthropic’s technology within the Amazon Bedrock ecosystem. Anthropic’s cloud models, particularly the introduction of the latest Cloud 3.5 Sonnet, have shown remarkable progress, outpacing competitors like OpenAI’s GPT-4. Cloud 3.5 Sonnet offers improved speed and performance in complex tasks.

The CEO of Anthropic acknowledged that working with AWS has significantly expanded the reach of the cloud, opening up its possibilities to many users globally. He expects AWS’s technology to continue powering their innovative AI models, potentially transforming many industries.

The initial $4 billion investment made by AWS in ANTHROPIC remains its largest external venture. Continuing this partnership, Amazon recently collaborated with Palantir and Anthropic to advance generative AI tools for the Department of Defense, ushering in a new era of AI applications and innovation.

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