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Amazon eyes deeper investment in Anthropic to stay ahead in AI race

Amazon is reportedly considering another multibillion-dollar investment in Anthropic, the artificial intelligence firm behind the Claude AI models, according to the Financial Times. The potential move would strengthen Amazon’s position as a major player in the rapidly intensifying global AI race.

The report, citing sources familiar with the matter, says Amazon wants to expand on the $8 billion investment it committed to Anthropic in November 2023. That initial deal, which included an upfront $4 billion, made Amazon one of the company’s largest stakeholders, alongside Google, which has invested more than $3 billion into Anthropic.

Both Amazon and Anthropic declined to comment on the renewed talks when contacted by Reuters.

A race to stay relevant in AI

Amazon’s increasing interest in Anthropic highlights its urgency to catch up to rivals OpenAI and Google, who have made significant consumer-facing advances in generative AI over the past two years. Anthropic’s Claude family of AI models competes directly with OpenAI’s ChatGPT and Google’s Gemini.

“We quickly realized that we had many shared goals that were fundamentally critical,” said Dan Grossman, Amazon’s VP of worldwide corporate development. “The size of the (existing investment) represents our ambition.”

Amazon’s deepened partnership with Anthropic could also help it attract top AI talent, an increasingly competitive space where companies are offering equity, massive compensation packages, and research freedom to lure leading minds in machine learning and large language models.

Strategic implications

Amazon’s AI ambitions are closely tied to its cloud business, AWS, where Anthropic’s models are being integrated into services for enterprise customers. The ongoing partnership gives Anthropic priority access to AWS’s Trainium and Inferentia chips, optimizing both model development and deployment.

Beyond infrastructure, Amazon is aiming to embed Claude-powered AI tools deeper into Alexa, Amazon Web Services, and its e-commerce ecosystem, which could give it an edge in personalized search, voice interfaces, and customer service automation.

The prospective increase in funding would also help Amazon maintain equity leadership in Anthropic amid growing investor interest in the startup. With AI startups commanding soaring valuations, Amazon appears determined not to lose strategic control over a potential future titan in the field.

Ilya Sutskever Takes Charge of Safe Superintelligence After CEO Daniel Gross Joins Meta Amid AI Talent War

Ilya Sutskever, co-founder and former chief scientist of OpenAI, has stepped up to lead Safe Superintelligence (SSI), the AI startup he founded last year, following the departure of CEO Daniel Gross who was poached by Meta Platforms to head its AI products division.

Key Developments

  • Daniel Gross left SSI to join Meta amid an intensifying AI talent war, where major tech companies compete fiercely with lucrative pay and strategic acquisitions.

  • Meta has also tried to recruit Sutskever and acquire SSI, which was valued recently at $32 billion, but Sutskever emphasized the startup’s focus on its mission, despite the interest.

  • SSI raised $1 billion last year aiming to build advanced AI systems that safely surpass human intelligence.

Background on Sutskever and Meta’s AI Push

  • Sutskever previously played a pivotal role at OpenAI but departed following internal leadership turmoil involving Sam Altman in late 2023.

  • Meta CEO Mark Zuckerberg recently created Meta Superintelligence Labs, consolidating the company’s AI efforts after challenges with its Llama 4 model and losing key talent.

  • This new unit will be led by Alexandr Wang (ex-Scale AI CEO) and Nat Friedman (ex-GitHub chief), with Meta investing $14.3 billion in Scale AI to bolster its AI capabilities.

Industry Connections and Meta’s Strategy

  • Gross and Friedman co-founded venture capital firm NFDG, which backs startups including SSI, Perplexity, and Figma.

  • Meta reportedly offered to buy a minority stake in NFDG’s funds, signaling a strategic push to influence key players in the AI startup ecosystem.

  • Gross’s background includes a 2013 startup acquisition by Apple and leadership roles in machine learning and AI at the tech giant.

EU Faces Mounting Pressure to Delay Enforcement of AI Act as Deadline Nears

With key provisions of the EU Artificial Intelligence Act (AI Act) set to begin on August 2, major tech companies and political figures are urging the European Commission to delay enforcement. Critics say the current framework lacks sufficient guidance, placing a heavy burden on businesses—especially startups—without clear rules on how to comply.

What Happens on August 2?

Although the AI Act was passed in 2024, its rules are being phased in gradually. On August 2, some of the first obligations come into force—specifically for General Purpose AI (GPAI) models such as those developed by Google, OpenAI, Mistral, and others.

These initial provisions require AI developers to:

  • Draw up technical documentation

  • Disclose training data summaries

  • Comply with EU copyright laws

  • Conduct testing for bias, toxicity, and robustness

More rigorous rules apply to high-impact and systemic-risk models, which will need:

  • Adversarial testing

  • Incident reporting

  • Risk assessments

  • Energy efficiency disclosures

However, full enforcement—particularly penalties and oversight powers—doesn’t begin until August 2, 2026.

Why Are Companies Pushing for a Delay?

Tech companies argue that they lack clarity on how to comply with the law. A promised AI Code of Practice, meant to serve as the act’s compliance manual, was due on May 2 but has not been published. The European AI Board is now discussing pushing the guidance release to late 2025.

In an open letter, 45 European AI firms called for a two-year “clock-stop”—a suspension of the countdown to enforcement—until key standards are finalized. They also asked for simpler regulations, warning that unclear requirements could damage European innovation.

Lobbying group CCIA Europe, which represents companies like Google and Meta, said:

“A bold ‘stop-the-clock’ intervention is urgently needed to give AI developers and deployers legal certainty.”

Will the EU Postpone It?

Officially, the European Commission has not signaled a postponement. It insists that the August 2 start date for GPAI obligations stands, although the lack of finalized guidance suggests informal delays in compliance expectations.

Some political figures—including Swedish Prime Minister Ulf Kristersson—have also expressed concern, calling the act “confusing” and backing the idea of a pause.

What Comes Next?

Even if the AI Act’s initial deadlines hold, enforcement might be soft or flexible in the early stages due to the lack of practical tools. The AI Code of Practice remains the critical next step for clarity.

Meanwhile, the tension highlights a broader EU challenge: balancing innovation with regulation, especially in fast-moving fields like artificial intelligence.