Amazon stated in an announcement on Wednesday, that it would back the San Francisco-based Generative AI Company, Anthropic with a $2.75 billion investment.
The largest E-commerce brand in the world, Amazon, just made its largest external investment in 30 years. The investment to be in front of the Artificial intelligence race.
Founded three years ago in 2021, Anthropic has carved out a reputation of being ahead in the Generative Artificial intelligence field with its foundation model and chatbot being compared to the likes of OpenAI and ChatGPT.
Earlier last September, Amazon announced an initial investment of $1.25 billion in Anthropic, which acknowledged at that time that it was expecting a total investment of $4 billion for the e-commerce brand which has now been fulfilled.
According to a source, the genesis of the investment started at Anthropic’s last valuation, which placed the startup at $18.4 billion. However, the deal states that Amazon will stay in the minority position and consequently, will not have a board seat at Anthropic.
During a year, the AI startup closed five different investment deals worth an estimated $7.3 billion.
According to some enthusiasts in the world of AI, the main reason the Anthropic AI models and chatbots could compete with the likes of OpenAI and ChatGPT is solely because the company was built by ex-OpenAI research executives and employees.
Weeks before the Amazon investment, Anthropic launched its newest suite of models called Claude 3. According to the company website, Claude 3 comprises three “state-of-the-art” models; Claude 3 Haiku, Claude 3 Sonnet, and Claude 3 Opus, all in an ascending order of capability.
When tested alongside OpenAI’s ChatGPT, and Google’s Gemini Ultra using the industry standards, the Claude 3 is said to have surpassed both AI models.
These tests were based on undergraduate-level knowledge, graduate-level reasoning, and basic mathematics.
