Amazon Invests $4 Billion in Anthropic to Challenge Nvidia and OpenAI

Amazon has announced a $4 billion investment in AI startup Anthropic, aiming to increase the use of its Trainium AI chips and challenge Nvidia's dominance in the AI chip market. This brings Amazon's total investment in Anthropic to $8 billion, with Anthropic agreeing to use AWS as its primary cloud and training partner. Despite the investment, Anthropic CEO Dario Amodei expressed a balanced approach, using chips from Nvidia, Google, and Amazon. The collaboration includes developing Amazon's AI-model platform, AWS Neuron, to compete with Nvidia's CUDA software stack.