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Amazon has lagged OpenAI and Anthropic, but AI chief sees path to catch up in 'coming year'

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Why This Matters

Amazon aims to catch up with OpenAI and Anthropic in developing cutting-edge AI models within the next year, emphasizing its strategic focus on foundational data, architecture, and infrastructure. This effort highlights Amazon's commitment to remaining competitive in the rapidly evolving AI industry, reassuring investors and customers alike. The company's dual approach—offering a marketplace for models and developing its own—positions it to strengthen its presence in the AI landscape.

Key Takeaways

Amazon 's top artificial intelligence executive told CNBC on Wednesday that he hopes the company will be able to compete with OpenAI and Anthropic on frontier models in the "coming year" after falling behind the two leading labs.

"I think it's a fair narrative that our models haven't been at the very frontier for the very largest, most demanding workloads," Peter DeSantis, a senior vice president at Amazon who heads up the company's semiconductor, AI and quantum efforts, told CNBC.

The "frontier" refers to the most advanced AI models.

"We've been taking a very deliberate approach to get our foundations right, our data, our architecture, our infrastructure. And you know, we're on a path that we want to be on," he said.

The aspiration underscores the effort Amazon is putting into its model development as it looks to reassure investors that it is a key player in the AI boom.

Amazon's approach to AI models has been two-pronged. On the one hand, it has a product called Bedrock, which is a sort of marketplace for models from different companies that its cloud computing customers can access. On the other hand, Amazon released Nova2, its latest AI model, in December in a bid to compete with the likes of OpenAI and Anthropic.

"We've got about 50,000 customers for Nova2, so we're pretty excited about it," DeSantis said.

"Our aspiration is to have a model that people think about as one of the very most capable intelligent models out there," he said. "I'm not sure we're there yet with Nova2, but that's our aspiration."