AI Wars: Amazon And Google Are Coming After Microsoft's Early Market Dominance

At the end of November, Amazon.com Inc AMZN held its re:Invent conference that kicked of with a slew of announcements that showed the e-commerce titan is working hard to challenge the early market dominance of its main AI rival, Microsoft Corporation MSFT. Today, Alphabet GOOG-owned Google announced it took its next AI leap with the launch of an AI model trained to behave in human-like ways.

Google Debuted Its Latest Generative AI Offering

Today, Google debuted Gemini, its generative AI model that promises to challenge the Microsoft-backed Open AI’s GPT-4. With its natively multimodal model that is capable of working with text, audio, video, images, and code, Google aims to differentiate Gemini with the fact that it has been designed to take all those different mediums into account from the very beginning as opposed to stringing all these separate models together into one. In other words, Google claims its generative-AI model can better understand multimodal data and therefore, produce better results compared to others. Gemini is undoubtedly Google’s biggest attempt to date to challenge Open AI and its backer-Microsoft. By the looks of it, Gemini promises to have what it takes for Google to stop playing catch up.

Amazon Is Determined To Fight Microsoft For AI Dominance

During its annual event that has been designed to showcase important novelties at Amazon Web Services, Amazon was all about generative AI. Among the most important news are the new Q chatbot, an upgraded AI chip, the Trainium2, as well as the deepening of the partnership with the chipmaking leader, Nvidia Corporation NVDA. Although it still didn’t catch up with Microsoft and Google on the AI front, Amazon is coming and so is its Q chatbot designed for enterprises. Amazon designed Q as a general assistant that drafts emails, summarizes reports, plans workshops and comes up with business ideas. Amazon aims to differentiate its chatbot based on the fact it has been trained on 17 years of AWS data.

Amazon showcased an example of Q turning information from a corporate blog into social media post that even included hashtags, but all in all, the service is similar to what Microsoft and Google are also offering with their generative AI products. But Q will certainly put Amazon on par with Microsoft and Google.

Moreover, with its new chip Trainium2 chips that will offer training four times faster than the first-generation Trainium, while being two times as energy efficient, AI developer Anthropic that Amazon backed, who is creator of the Claude chatbot, committed to develop future foundation models on these improved chips. All in all, Amazon will be entering 2024 ready to battle Microsoft and Google for generative AI market dominance. 

DISCLAIMER: This content is for informational purposes only. It is not intended as investing advice.

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