Amazon (NASDAQ:AMZN) stock is up on Monday as the e-commerce giant gears up for the artificial intelligence (AI) race with a massive investment of up to $4 billion.
Amazon is investing this money in Anthropic, a rival to ChatGPT creator OpenAI. This secures Amazon a minority stake in the company and opens up its AI technology for use in Amazon’s own applications.
For example, Amazon is hoping to speed up the development of Anthropic’s AI tech to help advance Amazon Web Services (AWS). That will also see AWS become the primary cloud provider of Anthropic.
Andy Jassy, CEO of Amazon, said the following about this investment:
“We have tremendous respect for Anthropic’s team and foundation models, and believe we can help improve many customer experiences, short and long-term, through our deeper collaboration.”
What This Means for AMZN Stock
With this move, Amazon is making sure it doesn’t fall behind rivals in the AI race. Both Alphabet (NASDAQ:GOOGL, NASDAQ:GOOG) and Microsoft (NASDAQ:MSFT) have made significant pushes in the space.
AMZN stock is up 1.1% as of Monday morning.
There’s even more stock market news that traders are going to want to know about below!
We have all of the hottest stock market news that traders need to read about on Monday! That includes an update on share sales from a HP (NYSE:HPQ) stock investor, the latest details of a writers’ strike, as well as Joby Aviation (NYSE:JOBY) completing an early aircraft delivery. All of that news is ready to go at the following links!
More Monday Stock Market News
- Is Warren Buffett Giving Up on HP (HPQ) Stock?
- PARA Stock Alert: Paramount Gains on Tentative Writer Strike Deal
- JOBY Stock Alert: Joby Makes Early Aircraft Delivery to Edwards Air Force Base
On the date of publication, William White did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
