Amazon is reportedly building a new AI model that includes advanced reasoning capabilities, which is expected to compete with OpenAI’s and Anthropic’s models.
The new offering is expected to launch in June under the Nova brand, a group of generative AI launched by the company last year, according to a report by the Business Insider which cited a source involved with the project.
The new Amazon model will take a hybrid reasoning approach
Reasoning models are fast becoming a powerful tool in the AI market as some of them are now mainly used to solve complex problems.
Amazon reportedly wants the new model to take a hybrid reasoning approach. This is believed to give faster answers and more complex extended thinking in a single system.
Such a development reaffirms customers that Amazon is committed to investing in its own family of AI models, even if it preaches the need to offer a variety of model choices through Bedrock. The tech company’s AGI team, run by head scientist Rohit Prasad, has been working on this new model.
Anthropic which is backed by Amazon and Alphabet’s Google, developed a hybrid AI model that includes reasoning capabilities. Amazon’s potential new model could compete with Anthropic as well.
Anthropic recently announced its new Claude 3.7 Sonnet mode, something it calls the first hybrid model on the market.
According to previous information provided, Amazon said its existing in-house Nova models are at least 75% cheaper than third-party models available via its Bedrock AI development platform.
The reasoning models have recently become the next war zone in the AI battle. According to research, they often work more slowly but can also tackle tougher problems by trying multiple solutions and backtracking via chain-of-thought techniques.
Tech firms are taking their rivalry to reasoning models
Google, OpenAI, and Anthropic have released their own reasoning models recently, while DeepSeek drew a lot of attention for building a similar offering more efficiently.
For Amazon, the e-commerce firm is looking at cost-effective models for its customers. Amazon is also looking at having its reasoning model ranked in the top 5 for performance, based on external benchmarks that evaluate software development and math skills, such as SWE, Berkeley Function Calling Leaderboard, and AIME, among others, the Business Insider reported.
The development comes after Amazon CEO Andy Jassy a month ago agreed that the cost of inference in AI will substantially come down, a development that will be very positive for both customers and Amazon’s business.
This also comes as the tech company is building one of the world’s most powerful AI supercomputers in collaboration with Anthropic.
When completed, it will be five times larger than the cluster used to build Anthropic’s current most powerful model. Amazon says it expects the supercomputer, which will feature hundreds of thousands of Amazon’s latest AI training chip, Trainium 2, to be the largest reported AI machine in the world when finished.
The CEO of Amazon Web Services, revealed the supercomputer plans, dubbed project Rainer, at the company’s Re:Invent conference along with a host of other announcements cementing Amazon’s rising dark-horse status in the world of generative AI.
The tech company has invested $8 billion in Anthropic so far and the two companies have been close partners, collaborating in areas including AI chips and cloud computing.
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