Amazon's investments in Anthropic are now worth a cool $14 billion

Core Insights - Amazon's investment in Anthropic has significantly increased, with the fair value of its stake rising from $8 billion to $14 billion, representing a 75% gain since the initial investment in 2023 [1][2] - The total investment in Anthropic amounts to $8 billion, with structured investments including convertible notes that can be converted into equity [2][3] - Anthropic is currently valued at $60 billion, a substantial increase from its previous valuation of $18 billion [5] Investment Details - Amazon's initial investment of $1.25 billion in Anthropic occurred in September 2023, followed by an additional $2.75 billion in early 2024 and $1.3 billion later that year [2] - An agreement for an additional $2.7 billion investment by the end of 2025 has also been established [2] - The investments are classified as "available-for-sale" and categorized as "Level 3" assets, indicating reliance on unobservable inputs for valuation [3][4] Partnership Dynamics - Amazon and Anthropic have developed a close partnership, with Anthropic committing to utilize Amazon's cloud computing services and AI chips [6] - Anthropic plans to leverage a new AI supercomputer built from Amazon's chip clusters [6] Broader Investment Landscape - As of the end of December, Amazon's total investment value in public and private companies reached $22.1 billion, with only $4.6 billion allocated to publicly traded companies [7] - Other private companies in which Amazon has invested include Scale AI, Hugging Face, and X-energy [7]