Amazon will invest up to $4 billion into OpenAI rival Anthropic

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A white background with Amazon and Anthropic’s logo on.
Amazon has commited to an initial $1.25 billion investment that can be increased by an additional $2.75 billion. | Image: Amazon / Anthropic

Amazon announced on Monday that it will invest up to $4 billion into Anthropic — the AI startup best known for its Claude chatbot and founded by siblings Dario and Daniela Amodei who used to work for OpenAI.

This deal pales in comparison to the reported $13 billion that Microsoft has so far invested into OpenAI, the biggest name in generative AI technology right now, but that partnership has been blossoming since 2019. Nevertheless, it’s a clear sign that Amazon is staking its claim in the escalating AI arms race.

Anthropic’s Claude and Claude 2 large language model–based chatbots are similar to OpenAI’s...

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