Amazon to invest up to $25 billion in Anthropic as part of deal

STORY: Amazon said Monday that it will invest up to $25 billion in Anthropic.

That's as the AI startup committed to spending more than $100 billion over the next 10 years on Amazon's cloud technologies.

The e-commerce titan will be investing $5 billion now, and an additional $20 billion in the future, subject to certain commercial milestones.

This is in addition to the $8 billion Amazon previously invested in the company.

The deal deepens the two firms' relationship as Anthropic rushes to secure capacity to bolster its models.

In a statement, the Claude creator said it expected to bring in roughly 1 gigawatt of new computing capacity by year-end using Amazon's Trainium chips.

It ultimately expects to secure up to 5 gigawatts of such capacity.

Amazon CEO Andy Jassy said in a statement that Anthropic's use of Trainium chips "reflects the progress we've made together on custom silicon."