You can be on Entrepreneur’s cover!

Amazon's Free Credits for Startups Now Cover the Use of AI Models, Even From Competitors Like Meta The company says it has offered startups more than $6 billion in credits over the past 10 years.

By Sherin Shibu

Key Takeaways

  • Amazon Web Services will offer startups cloud storage for free for using AI developed by companies like Meta and Anthropic.
  • Amazon concluded its $4 billion investment in Anthropic last week.
entrepreneur daily

Amazon Web Services will now allow its free credits program for startups to encompass the use of major AI models from other providers, including Meta, Mistral AI, and Cohere, in addition to its own AI platform Bedrock, the company told Reuters on Tuesday.

The move could attract more AI startup customers to the AWS platform and potentially minimize the cost that those startups incur by using AI. OpenAI CEO Sam Altman stated in January that developing the company's most advanced AI model took $100 million.

Amazon Web Services (AWS) CEO Adam Selipsky speaks with Anthropic CEO and co-founder Dario Amodei in November 2023. Photo by Noah Berger/Getty Images for Amazon Web Services

OpenAI rival Anthropic had to spend half of the revenue it generated in January paying cloud providers like Google and Amazon, according to The Information.

Related: Amazon Invests $4 Billion in ChatGPT Competitor, Making a Bold Move in the AI Arms Race

Amazon concluded its $4 billion investment in Anthropic last week, and covers Anthropic's AI models under its free credits program. Anthropic's latest AI model appeared to display "meta-awareness" in internal tests.

Amazon stated that it has offered startups more than $6 billion in credits over the past 10 years. The company plans to offer half a million dollars in credits to startups in Y Combinator's latest January cohort, per Reuters.

Amazon isn't the first company to offer free cloud credits for startups. Google is offering up to $350,000 in credits and IBM offers credits in a trial period.

Related: An OpenAI Rival Developed a Model That Appears to Have 'Metacognition,' Something Never Seen Before Publicly

Sherin Shibu

Entrepreneur Staff

News Reporter

Sherin Shibu is a business news reporter at Entrepreneur.com. She previously worked for PCMag, Business Insider, The Messenger, and ZDNET as a reporter and copyeditor. Her areas of coverage encompass tech, business, strategy, finance, and even space. She is a Columbia University graduate.

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Side Hustle

This Insurance Agent Started a Side Hustle Inspired By Nostalgia for His Home State — Now It Earns Nearly $40,000 a Month

After moving to New York City, Danny Trejo started a business to stay in touch with his roots — literally.

Growing a Business

24 Hours After a Grueling Session of Pickleball, He Invented Something That Makes Most People Better at the Addictive Sport

Veloz founder, president and CEO Mitch Junkins discusses the creation process behind his revolutionary paddle and shares his advice for other inventors hoping to make an overhead smash in their industry.

Leadership

Employees Are Burning Out — and the Culprit Isn't What You Think

There's a type of stress that has a huge impact on employees' health, work performance and personal lives. Here's what it is and what you can do to combat it, both for yourself and your employees.

Business News

Elon Musk Says AI Technology Will Be Smarter Than 'Any Human' By 'Next Year'

The billionaire spoke about the rapid advancement of the technology in a livestream interview on X.

Business News

Google's 'Find My Device' Will Finally Roll Out to Android Phones. Here's Why It Was Delayed.

Both Android and Apple iOS users will receive unknown tracker alerts on the Find My Device network.