[maxclark]

Is this really a $4B investment, or credits on AWS?

AWS margins are close to 40%, so the real cost of this "investment" would be way less than the press release.

[swyx]

https://techcrunch.com/2024/11/22/anthropic-raises-an-additi...

> "This new CASH infusion brings Amazon’s total investment in Anthropic to $8 billion while maintaining the tech giant’s position as a minority investor, Anthropic said."

[mistrial9]

ok but how much cash, really.. looks ambiguous.

ps- plenty of people turning a blind eye towards rampant valuation inflation and "big words" statements on deals. Where is the grounding on the same dollars that are used at a grocery store? The whole thing is fodder for instability in a big way IMHO

[Etheryte]

I don't really see any ambiguity? If the reporting is accurate, the whole $4B is cash.

[mef]

whether cash or credit, it's all going right back to AWS

[hehehheh]

This is great for creative accounting. AWS now has 4bn in equity and 4bn in additional sales.

[lucianbr]

So it's a $2.4B investment, announced as $4B.

Significantly less, still a huge investment.

I look forward to the moment the sunk cost fallacy shows up. "We've invested $20B into this, and nothing yet. Shall we invest $4B more? Maybe it will actually return something this time." That will be fun.

[hehehheh]

It could be the anthropic models makes bedrock attractive and profitable and more importantly medium term competitive against azure. It seems worth it.