The tech giant Amazon has invested an additional $4 billion in the emerging AI company Anthropic, as part of a partnership announced by both companies last September.
Under the terms of the partnership, Amazon's cloud computing services, **Amazon Web Services (AWS)**, will become the primary computing services provider for Anthropic, according to a statement released on Friday.
This investment brings Amazon’s total investment in Anthropic to $8 billion, according to media reports. However, Amazon will remain a minority investor in Anthropic, the developer of the AI program **Claude**, which is based in San Francisco.
Last September, Amazon initially invested $1.25 billion in Anthropic, and raised the amount to $4 billion at the end of March this year.
Race for Dominance
Amazon's investment comes amid fierce competition among tech giants to dominate the rapidly expanding field of generative AI.
Dario Amodei, co-founder and CEO of Anthropic, said that the AI program Claude has seen a year of rapid growth, according to the *Financial Times*. He added that the collaboration with Amazon has been “crucial in making Claude’s capabilities available to millions of end users across tens of thousands of customers.”
Generative AI Market Size
Claude is one of the chatbot programs like OpenAI’s **ChatGPT** and Google’s **Gemini**, which have gained significant popularity in recent years. Startups like Anthropic and OpenAI, along with tech giants such as Google, Amazon, Meta, and Microsoft, are all competing in the race to dominate generative AI.
The market for generative AI is expected to reach $1.3 trillion by 2032, which is why companies like Amazon and Microsoft are supporting AI startups with large investments.
Amazon is increasing its bet on Anthropic amid growing scrutiny from regulators in the United States, the UK, and the European Union, due to concerns that deals between tech giants and leading AI startups could pose risks to competition.
