Amazon Invests $2.75 Billion in Anthropic

E-commerce giant Amazon has invested $2.75 billion in Anthropic, an AI company which was founded by ex-OpenAI employees in 2021, to help improve its customer experiences and overall productivity.

Recall that last May, Google led a massive $450 million investment round into the company which made Claude, a rival chatbot to OpenAI's ChatGPT, and later made another huge investment into the AI startup. On the other hand, Amazon previously invested $1.25 billion into the company, bringing its total investment to date to $4 billion, and making Anthropic its most important AI partner.

* Anthropic projects over $850 million in annualized revenue in 2024 * Crypto hacks amount reached around $2 Billion in 2023 * Global remittances hit $860 billion in 2023, marking 3rd consecutive record year * South Korea’s semiconductor industry surged by 42% in November * New York Times sues OpenAI and Microsoft over copyright infringement

TechloyEmmanuel Oyedeji

According to Swami Sivasubramanian, an Amazon executive, partnering with Anthropic would help Amazon take advantage of AI to reinvent its business, especially for the future, and bring generative AI applications closer to its customers.

While the exact valuation of Anthropic remains undisclosed, there have been conflicting reports. The Information reported a valuation of over $4.1 billion in March 2023, while Reuters later indicated a valuation close to $5 billion.

As of December 2023, Anthropic's valuation has reportedly tripled to $15 billion, according to the New York Times, while CNBC reported that it has reached $18 billion.