Google will invest $2 billion in rival AI startup Anthropic
Utkarsh ClassesLast Updated
28-10-2023
Science and Technology
3 min read
Search engine Google has decided to invest $2 billion in its rival AI startup Anthropic. This latest investment follows Google's $550 million investment in Anthropic earlier this year.
Bloomberg, citing Anthropic as its source, reported that the new Amazon investment is structured as a convertible note, a type of debt that can be converted into equity in the next round of funding.
Google has already invested in Anthropic :
The report said Google has already invested $500 million in the company and is committed to investing another $1.5 billion in the future.
Before Google's latest investment in Anthropic, the tech giant had already signed a Google Cloud deal worth more than $3 billion, The Wall Street Journal reported.
Anthropic has also signed a multi-year deal with Google Cloud worth more than $3 billion. The deal was signed a few months before the new investment.
Before Google, Amazon also promised to invest up to $4 billion:
Before Google, Amazon had pledged to invest up to $4 billion in Anthropic as it looks to compete with other cloud companies in AI.
In a quarterly filing with the US Securities and Exchange Commission due this October 2023, cited by Reuters, Amazon had detailed that it had invested $1.25 billion in AI startups, which can be converted into equity and others. It has the ability to invest $2.75 billion in the note.
About Anthropic:
Established: 2021
Founders: Daniela Amodei and Dario Amodei (brother and sister)
Daniela Amodei and Dario Amodei previously worked as engineers at OpenAI.
CEO of OpenAI: Sam Altman
Anthropic was first funded by FTX’s Sam Bankman Fried, but after the crypto exchange's famous failure, Anthropic sought other investors, including cloud giants like Amazon and Google, as well as traditional investors like Spark Capital and Menlo Ventures. Silicon Valley investors included.
Anthropic, which operates a generative AI-based chatbot called Cloud, similar to OpenAI's ChatGPT, needs billions of dollars to train more advanced versions of its AI systems.
Anthropic Company has received $7 billion in funding this year alone.
FAQ
Ans. Sundar Pichai
Ans. California
Ans. INDIAai is the National AI Portal of India, It is a joint venture by the Ministry of Electronics and Information Technology (MEITY),National Association of Software and Services Companies (NASSCOM) and
National e-Governance Division (NEGD)
Ans. Lisa (Odisha)
Ans. Sam Altman
Ans. Convertible note is structured as a debt investment but has a provision that allows the principal plus accrued interest to convert into an equity investment at a later date.
Submit your details to access
Free Questions Booklet
Thank you for registering! Your valuable resources are now ready for download.
Download the
Utkarsh Appto Get Your
5 Model Test Papers & Exclusive Offers
Install Now
Get Unlimited Download
To download limitless free study materials, provide your mobile number.
What's the best way to prepare for this exam?
Thank you for signing up!
25 Coins have been credited to your wallet. Install the UTKARSH app now to redeem and start learning!
DOWNLOAD OUR APP
Download India's Best Educational App
With the trust and confidence that our students have placed in us, the Utkarsh Mobile App has become India’s Best Educational App on the
Google Play Store. We are striving to maintain the legacy by updating unique features in the app for the facility of our aspirants.