Amazon shares rise 2% on Wall Street after it announced its intention to invest up to $4 billion in the artificial intelligence group Anthropic.
Amazon announced a million-dollar investment in AI and shares rise on Wall Street
Amazon announced its intention to invest up to $4 billion in the artificial intelligence group Anthropic. This company obtained a valuation of almost $5 billion in its latest financing round earlier this year, according to the Financial Times.
With this, the technology giant intends to strengthen its position around the emerging AI technology. Thus, its shares rise 2% to $131.56.
Under the terms of the agreement, Amazon will make an initial investment of $1.25 billion in Anthropic in exchange for a minority stake in the ChatGPT maker’s rival OpenAI.
The figure could later increase to $4 billion. Anthropic will then have access to Amazon’s cloud computing platform to help optimize its AI systems, known as large language models.
“We have tremendous respect for Anthropic’s team and core models, and believe we can help improve many customer experiences, in the short and long term, through our deeper collaboration,” said Amazon CEO Andy Jassy, in a statement.
“Amazon’s prioritization of AI has been a topic of debate for investors in recent quarters”Wedbush analysts noted in a note to clients, adding that Anthropic’s announcement signals “a new urgency in Amazon’s strategy to further integrate generative AI” into its cloud computing operation, Amazon Web Services.
Source: Ambito
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