Amazon to Invest up to $4B in AI Provider Anthropic - Modern Distribution Management

Log In

Amazon to Invest up to $4B in AI Provider Anthropic

As part of the deal, Anthropic would use Amazon's custom chips to build and deploy its AI software, the WSJ reported.

Among the tech giants positioning themselves for an edge in the race to develop more AI capabilities, online behemoth Amazon has agreed to invest up to $4 billion in artificial-intelligence startup Anthropic, according to a company news release and a report from the Wall Street Journal.

Anthropic will use Amazon’s custom chips to build and deploy its AI software as part of the deal. Amazon also has agreed to incorporate Anthropic’s technology into products across its business, the WSJ reported.

“Anthropic will use AWS Trainium and Inferentia chips to build, train, and deploy its future foundation models, benefitting from the price, performance, scale, and security of AWS,” Amazon said in a news release. “The two companies will also collaborate in the development of future Trainium and Inferentia technology.”

Amazon said AWS will become Anthropic’s “primary cloud provider for mission critical workloads,” including safety research and future foundation model development. Anthropic also plans to run the majority of its workloads on AWS, Amazon added.

“We have tremendous respect for Anthropic’s team and foundation models, and believe we can help improve many customer experiences, short and long-term, through our deeper collaboration,” said Andy Jassy, Amazon CEO. “Customers are quite excited about Amazon Bedrock, AWS’s new managed service that enables companies to use various foundation models to build generative AI applications on top of, as well as AWS Trainium, AWS’s AI training chip, and our collaboration with Anthropic should help customers get even more value from these two capabilities.”

People familiar with the deal told the WSJ that Amazon has committed to a $1.25 billion investment in Anthropic, which could grow to $4 billion over time.

Related Posts

Share this article

About the Author
Recommended Reading
Leave a Reply

Leave a Comment

Sign Up for the MDM Update Newsletter

The MDM update newsletter is your best source for news and trends in the wholesale distribution industry.

Get the MDM Update Newsletter

Wholesale distribution news and trends delivered right to your inbox.

Sign-up for our free newsletter and get:

  • Up-to-date news in a quick-to-read format
  • Free access to webcasts, podcasts and live events
  • Exclusive whitepapers, research and reports
  • And more!


articles left

Want more Premium content from MDM?

Subscribe today and get:

  • New issues twice each month
  • Unlimited access to, including 10+ years of archived data
  • Current trends analysis, market data and economic updates
  • Discounts on select store products and events

Subscribe to continue reading

MDM Premium Subscribers get:

  • Unlimited access to
  • 1 year digital subscription, with new issues twice a month
  • Trends analysis, market data and quarterly economic updates
  • Deals on select store products and events



You have one free article remaining

Subscribe to MDM Premium to get unlimited access. Your subscription includes:

  • Two new issues a month
  • Access to 10+ years of archived data on
  • Quarterly economic updates, trends analysis and market data
  • Store and event discounts

To continue reading, you must be an MDM Premium subscriber.

Join other distribution executives who use MDM Premium to optimize their business. Our insights and analysis help you enter the right new markets, turbocharge your sales and marketing efforts, identify business partners that help you scale, and stay ahead of your competitors.

Register for full access

By providing your email, you agree to receive announcements from us and our partners for our newsletter, events, surveys, and partner resources per MDM Terms & Conditions. You can withdraw consent at any time.

Learn More about Custom Reports

Request a Market Prospector Demo

  • This field is for validation purposes and should be left unchanged.