In a bid to override tech giants like Microsoft by enriching its AI capabilities, Google is investing a mighty $2 billion into the AI startup Anthropic, co-founded by former OpenAI executives.
Quick Takes:
- Google is investing $2 billion into the AI startup Anthropic to bolster its AI initiatives.
- Anthropic seeks over $5 billion in funding; Amazon has already committed $1.25 billion.
- Intense rivalry in AI involves numerous tech powerhouses: Google, Amazon, Adobe, Microsoft.
Although Google’s initial capital injection to Anthropic is $500 million, the tech titan claims to inject the AI startup with an additional $1.5 billion capital at a later date, according to the Wall Street Journal.
Notably, Google is already an investor in Anthropic, investing between $300-$400 million in February. This new investment, however, underscores its ongoing efforts to override Microsoft’s AI ventures, which majorly backs OpenAI’s ChatGPT.
Anthropic’s Target Amidst Fierce Rivalry
Anthropic’s main ambition is to secure more than $5 billion to boost its AI abilities and accessibility, which is is looking more than possible. Google’s funding round came on the tail of Amazon recently pouring $1.25 billion into Anthropic to make its AI technology widely accessible to AWS customers. Amazon is also said to expand this investment round to $4 billion in the near future.
Additionally, the company previously raised $450 million by Spark Capital and $100 million from SK Telecom.
Having the financial means to put to work, Anthropic’s path ahead includes specializing as an enterprise product, focusing on safe and transparent professional services and educational resources to boost its investors and clients through the power of AI.
Not only are Google, Microsoft, and Amazon striving to make their mark in the AI realm, but also Adobe, among others, indicating an intense industry-wide competition for AI leadership.
