From CNBC: 2024-03-30 09:00:01

A surge in investment towards generative AI models in 2023 led to deals totaling $29.1 billion, mainly from tech companies. Microsoft, Google, and Amazon are among those racing to integrate generative AI into their products to stay competitive in a market estimated to exceed $1 billion in revenue within a decade.

Companies like Anthropic, Meta, and Apple are heavily investing in generative AI due to fear of missing out in the market. Microsoft has invested $13 billion in OpenAI since 2019, while Alphabet is focusing on its new Gemini model across various products. Google committed $2 billion to Anthropic last year.

Large tech companies are forming alliances with startups, providing capital to develop AI models and sharing infrastructure for deployment. Microsoft has invested in Mistral, Figure, and Humane, as well as acquiring Inflection AI. On the other hand, Amazon, Google, and Nvidia have backed companies like Figure AI, Essential AI, and Runway ML.

Regulators like the FTC are closely monitoring the investments and partnerships between AI developers and major cloud service providers like Amazon, Alphabet, and Microsoft. The probe aims to understand the market dynamics and potential impacts of these collaborations on the AI landscape. The game now involves access to critical intellectual property amidst increased regulatory scrutiny.



Read more at CNBC: FOMO drives tech heavyweights to invest billions in generative AI