(Reuters) – Alphabet’s Google has agreed to invest up to $2 billion in artificial intelligence company Anthropic, a spokesperson for the startup said on Friday.
The company has invested $500 million up front in the OpenAI competitor and has agreed to add an additional $1.5 billion over time, the spokesperson said.
Google is already an investor in Anthropic, and the new investment would highlight its efforts to better compete with Microsoft, a major backer of ChatGPT creator OpenAI, as Big Tech companies race to add artificial intelligence to their applications.
Amazon.com also said last month it would invest up to $4 billion in Anthropic to compete with growing AI cloud rivals.
In Amazon’s quarterly report to the U.S. Securities and Exchange Commission this week, the online retailer said it invested in Anthropic’s $1.25 billion note that can be converted into stock, while its ability to invest up to $2.75 billion in another note expires in the first quarter of 2024.
Google declined to comment, and Amazon did not immediately respond to Reuters’ request for comment.
The Wall Street Journal previously reported the news of Google’s latest deal with Anthropic.
The increase in the amount of investments shows that cloud companies are constantly trying to secure ties with artificial intelligence startup companies that are renewing their industry.
Founded by former OpenAI executives and siblings Dario and Daniela Amodei, Anthropic has demonstrated its commitment to securing the resources and comprehensive backers needed to compete with OpenAI and lead the technology industry.