Amazon to Invest £3.5 billion in Anthropic – An AI ‘10x better than ChatGPT.’

Amazon has stated today that they have agreed to invest up to $4 billion (£3.27 billion) in AI start-up company Anthropic, this comes at a time where tech giants across the board are investing in any AI business they can their hands on. In turn, creating an exciting and potentially world changing AI chatbot race.

But who are Anthropic?

Founded in 2021, by 4 former members of OpenAI, (the creators of ChatGPT) Anthropic are an AI safety and research company based in San Francisco. They are currently working on a chatbot named Claude which, similar to competitors like ChatGPT and Bard, uses a messaging interface. They have a size of 150 employees and will continue to grow rapidly following Amazons’ investment.

Anthropic bot Claude 2

Amazon’s investment won’t just be financially, the E-Commerce giant are also giving Anthropic full use of amazon data centres, cloud computing platforms and AI chips.

Google have also shown their interest and support for the exciting start-up, investing $300 million (£245 million) back in late 2022 while Microsoft chose to back OpenAI.

Amazon’s investment of £3.27 billion would see it get a minority stake in Anthropic.

As the e-commerce group steps up its rivalry against Microsoft, Meta, Google and Nvidia in the fast-growing sector, it will be interesting to see what new features could be implemented into the amazon ecosystem, potentially improving products like Alexa dramatically with the implementation of more complex AI.

“We can help improve many customer experiences, short- and long-term, through our deeper collaboration,” Andy Jassy, Amazon’s chief executive, said in a statement.

Anthropic’s newest product Claude 2, is very similar to GPT-4, OpenAi’s newest and most advanced bot. Claude 2 has the ability to scan and interpret PDF’s as well as many other files. And one of the parts that make Claude such a threat to ChatGPT is the data that it was trained on. GPT-4’s knowledge cuts off from 2021 onwards whereas Claude is trained on data going up to 2023.

Watch out ChatGPT, this is definitely a business to keep an eye on in the coming years.


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