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Anthropic, an AI business Sam Bankman-Fried had a stake in, receives funding from Google

anthropic-an-ai-business-sam-bankman-fried-had-a-stake-in-receives-funding-from-google
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Anthropic, an AI business Sam Bankman-Fried had a stake in, receives funding from Google

A few days after Microsoft revealed a new, multiyear, multi-billion-dollar investment in ChatGPT-maker OpenAI, Google unveiled a $300m investment in artificial intelligence (AI) startup, Anthropic.

Battle For AI Supremacy

Google and Microsoft are still battling it out for control of the future of AI in technology. Google might have resorted to the unnoticed Anthropic, a startup started by former OpenAI personnel. Microsoft is firmly involved with the company that created ChatGPT.

The Financial Times stated that Google made a $300m investment in the business in late 2022, though the news was private then. According to the FT, Google received a 10% interest in the industry in exchange for the cash, and Anthropic is obligated to purchase cloud computing services from the search engine giant.

This dynamic and the collaboration between Microsoft and OpenAI are comparable. There, Microsoft contributes billions of dollars in investment and access to its enormous cloud platform, which is required to train the most recent compute-intensive AI models. OpenAI offers research expertise.

The program is the outcome of Microsoft’s $1b investment in OpenAI three years ago. Microsoft and OpenAI announced last month that they were extending their collaboration through a “multiyear, multi-billion-dollar investment” by the software juggernaut.

Anthropic also created Claude, a potential rival to ChatGPT

Microsoft is integrating ChatGPT into its services, and it needs to be clarified whether Google intends to do the same with Claude. The FT claims that one reason for the transaction is to expand Google’s cloud computing business since the company already has a wealth of internal experience developing AI language systems.

Sam Bankman-Fried, the creator of FTX, and his crypto hedge fund Alameda Research, which lost $500m before bankruptcy last year, are the company’s main investors. Anthropic has been identified as an asset by FTX’s bankruptcy estate that could aid in recovering debts for creditors.

The background of Anthropic’s founding is also essential. Former vice president of research at OpenAI, Dario Amodei, founded the organization as a public benefit corporation in 2021. Tom Brown, the principal developer for the AI language model GPT-3, was among the researchers that Amodei brought with him from OpenAI. Amodei left OpenAI

Since its release in the latter part of last year, Microsoft’s ChatGPT has garnered the majority of interest in the industry due to the discovery of its content-creating capabilities. 

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