Amazon's employees and cloud customers will gain early access to technology from Anthropic as part of the deal, which they can infuse into their businesses. The San Francisco-based startup also committed to rely primarily on Amazon's cloud services, including training its future AI models on large quantities of proprietary chips it would buy from the online retailing and computing giant. In a joint interview, the CEOs of Amazon's cloud division and Anthropic said the immediate investment will be $1.25 billion, with either party having the authority to trigger another $2.75 billion in funding by Amazon.
These companies have long histories of consistent stock growth thanks to dominating positions in their respective areas of tech.
AI is not new, but recent breakthroughs that led to generative AI apps like ChatGPT have sparked interest in the technology among investors. Two stocks that are great picks to do so are Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL) and Meta Platforms (NASDAQ: META). Alphabet, the parent company of Google, used AI to improve its business for a while.