Amazon's commitment to invest up to $20 billion in Anthropic beyond its initial $5 billion injection will take the form of convertible financing rather than a straightforward equity purchase, The Information reported, citing a company filing.
The structure means Anthropic can begin drawing down funds once Amazon meets certain compute delivery milestones, tying the capital to the infrastructure expansion that underpins the broader partnership rather than releasing it in a single transaction.
The convertible format gives Amazon the option to convert the financing into equity at a later date, potentially at terms more favourable than the headline valuation, while giving Anthropic access to capital as and when its infrastructure needs materialise.
Amazon negotiated the initial $5 billion at a $350 billion valuation, below the $380 billion post-money price set in Anthropic's $30 billion Series G round in February, suggesting the e-commerce group secured preferential terms compared to other recent investors.
The total commitment of up to $25 billion, combining the immediate injection with the contingent $20 billion, sits on top of the roughly $8 billion Amazon had previously invested in Anthropic across 2023 and 2024, bringing Amazon's cumulative financial exposure to as much as $33 billion.
Amazon's existing $8 billion investment is now worth more than $70 billion, the company disclosed in its first-quarter earnings, booking a $16.8 billion pre-tax gain triggered by Anthropic's Series G and the conversion of earlier notes into preferred stock.
As part of the expanded arrangement, Anthropic has committed to spending more than $100 billion on Amazon Web Services technologies over the next decade, including current and future generations of Amazon's custom Trainium AI chips and tens of millions of Graviton CPU cores.
Anthropic expects to bring nearly one gigawatt of combined Trainium2 and Trainium3 capacity online by the end of this year, with access to up to five gigawatts in total to train and run its Claude models.
"Our users tell us Claude is increasingly essential to how they work, and we need to build the infrastructure to keep pace with rapidly growing demand," chief executive Dario Amodei said.
Anthropic's annualised revenue surged from roughly $9 billion at the end of 2025 to more than $30 billion by April, driven primarily by enterprise adoption of Claude Code, its AI-powered coding tool.
The Amazon deal landed in the same week that Google parent Alphabet committed up to $40 billion to Anthropic in a separate arrangement, bringing combined committed funding from the Claude developer's two largest cloud partners to $65 billion.
Both hyperscalers are simultaneously investors, cloud providers and AI competitors to Anthropic, a dynamic that has drawn increasing scrutiny as the sums involved have escalated.
The recap
- Amazon plans convertible financing investment structure for Anthropic
- Investment amount is up to $20 billion, reported by The Information
- The Information published the report as a briefing