Posted 4/2/2024, 10:12:00 AM
Amazon Bets on AI Dominance, Acquires Anthropic for $4B
- Amazon is investing heavily in artificial intelligence (AI) across hardware, software, and applications to make AWS the dominant AI cloud platform
- Amazon recently closed a $4B deal to acquire leading AI startup Anthropic, maker of Claude chatbot models that outperform competitors
- Anthropic partnership will accelerate Amazon's progress in AI chips, models, and applications to give AWS a competitive edge
- Among trillion-dollar tech giants, Amazon stock has the lowest valuation based on its price-to-sales ratio of 3.2
- As AWS grows through AI, it could substantially boost Amazon's overall profitability and make the stock undervalued based on future potential