Google Invests In AI Company Anthropic Despite Ties To FTX Cofounder Sam Bankman-Fried
Google invested around $300 million in the artificial intelligence startup Anthropic. Alameda Research is Alameda Research’s largest investor, which is the crypto hedge fund of Sam Bankman-Fried, disgraced crypto boss.
According to Friday Report from the Financial TimesDespite its ties with Bankman-Fried (the disgraced founder and CEO of cryptocurrency exchange FTX), Google invested approximately $300 million in Anthropic in the latter part 2022.
Google received a 10% stake in the company in return for the money. Separately, Anthropic This week’s announcement Google Cloud is the preferred cloud provider, and the companies “codevelop AI computing systems.”
Anthropic had raised over $700 million before Google’s investment. Alameda Research, a bankman-fried company, is the largest investor in the AI startup. It raised $500 million before it filed for bankruptcy. Anthropic has been flagged by FTX as an asset that could help creditors with their recoveries.
Anthropic was founded in 2021 and is currently developing Claude, an artificial intelligence chatbot that can be used for all purposes. Claude could be a rival to OpenAI ChatGPT, which has been making waves online in the last few months. Claude is not yet available publicly.
Anthropic and OpenAI are both working together to develop generative AI. These sophisticated computer programs can create scripts and art in seconds.
Anthropic claims it is focused on AI safety and calls itself “an A.I. company.” It is a safety and research company. Writes Its website states that “language models can learn to follow simple, natural language principles through self-improvement and that we use this method to train an easier assistant.”
Google’s cloud division made the investment. According to the FT, the tech giant could plan to transfer Anthropic’s data intensive computing work to its data centers in an effort to catch up to the lead Microsoft has taken in. The AI market is growing rapidly Its work with OpenAI is greatly appreciated.
Alameda Research was a cryptocurrency trading company that SBF co-founded in September 2017. According to reports, the company has raised over $2.5 million. A total of 222 were made Invest in it for the next five years.
FTX and its crypto-company group filed Chapter 11 bankruptcy early November. After US prosecutors filed formal criminal charges against Sam Bankman-Fried (the disgraced founder and CEO of FTX), he was arrested in The Bahamas. After posting a bond of $250m in New York, he was finally extradited to the USA.
There was also co-mingling between the funds. Alameda was able quietly to use funds from FTX customers using a backdoor which allowed the loan to fly under investors’ radars, employees and auditors.