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AI Startups Forced to Partner with Big Tech Despite Misgivings

  • In 2021, engineers left OpenAI and formed Anthropic, wanting to make responsible AI. This week, Anthropic partnered with Amazon in a $4 billion deal, showing AI startups' reliance on Big Tech computing resources.

  • AI's hunger for computing power is causing even anti-corporate startups to partner with Big Tech, as their data centers are needed to train complex algorithms.

  • OpenAI and Microsoft recently had a multibillion deal, and now Anthropic's deal with Amazon gives it access to resources while letting Amazon use its models.

  • Regulators are concerned about anticompetitive behavior, with AI products' reliance on the cloud provider they're built on. FTC chair Lina Khan said they must ensure this doesn't help big companies squash rivals.

  • When ChatGPT launched, Big Tech firms like Google and Microsoft rushed out their own chatbots, showing the competitive pace. Their ability to integrate AI into existing products is a key advantage over startups.

washingtonpost.com
Relevant topic timeline:
Main topic: Anthropic raises $100 million in funding for its AI assistant Claude. Key points: 1. Anthropic, a ChatGPT rival, secured a $100 million investment from SK Telecom. 2. The funding will support the development of a customized language model for telcos. 3. Anthropic has raised over $1.4 billion in the past 16 months, with previous investments from Google and other prominent investors.
Main topic: Anthropic, an AI startup co-founded by former OpenAI leaders, receives $100 million in funding from SK Telecom (SKT), a major mobile carrier in South Korea. Key points: 1. SKT is investing $100 million in Anthropic, joining the company's previous investors in its Series C funding round. 2. Anthropic and SKT plan to co-develop a multilingual large language model (LLM) customized for global telco firms. 3. SKT aims to provide AI services to potential customers using the LLM, including industry-specific customer service, marketing, sales, and interactive consumer applications.
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Anthropic has launched its premium subscription plan, Claude Pro, for its AI-powered chatbot, Claude 2, offering customers more usage, the ability to send more messages, priority access, and early access to new features for $20 per month in the U.S. or £18 in the U.K., the same price as OpenAI's ChatGPT Plus. Anthropic aims to create a next-gen algorithm for AI self-teaching and has raised $1.45 billion in funding, but estimates it will need $5 billion over the next two years to achieve its goals.
Amazon plans to hire 250,000 workers across multiple states, including Arizona, and raise entry-level pay to over $20.50 per hour, in an effort to bolster its workforce and compete for employees in a tight labor market.
Amazon.com stock rose 0.6% after announcing its investment of up to $4 billion in Anthropic, an artificial intelligence firm.
Amazon will invest up to $4 billion in the AI startup Anthropic, using the startup's models and software across its business and signaling a renewed focus on generative AI.
Amazon is making strategic moves in the artificial intelligence (AI) space, including developing its own semiconductor chips and offering AI-as-a-service, positioning itself as a key player in the AI race alongside Big Tech counterparts.
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Amazon's $4 billion investment in AI start-up Anthropic boosts Amazon Web Services (AWS) and its potential for growth in the cloud computing market, positioning Amazon for long-term gains and improving its profit margins.
Amazon is working to regain sustained growth and profitability after a period of decline, but it is also facing a major legal battle with the U.S. government and potential antitrust scrutiny overseas. Additionally, the company is focusing on generative artificial intelligence and preparing for a busy holiday shopping season.
The article discusses the potential of artificial intelligence (AI) and suggests that Amazon and CrowdStrike Holdings are two AI stocks worth considering for investors due to their advancements and leadership in the AI field.
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Google has invested $2 billion in Anthropic, a company specializing in large language models, joining other tech giants in the race to dominate the AI space and ensure they have partial ownership of the leaders in the field. The investment includes an initial $500 million with the potential for another $1.5 billion later, and comes as companies recognize the importance of AI in their future tech platforms.
Google is investing $2 billion in Anthropic, the creators of Claude AI, in a significant increase from their previous investment and as part of the ongoing AI competition with Microsoft and Amazon.
Google has invested an additional $2 billion into AI startup Anthropic, bringing its total investment to $3.05 billion, as the company aims to achieve breakthroughs in the AI industry with the help of its AI systems.
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