Amazon Makes Its Swan Dive Into ChatGPT Artificial Intelligence Pool
Amazon stock jumps as the company enters the field of artificial intelligence.
Amazon (AMZN), the world's largest e-commerce company, announced on Thursday that it had entered the rapidly growing field of generative AI, which is the technology behind ChatGPT. AMZN's stock rose on the news as did that of other AI companies.
Amazon has joined Alphabet, the owner of Google (GOOGL), and Microsoft (MSFT), in an effort to capitalize on this new technology.
The stock of Amazon rose 4.7% today to close at 102.40.
Alphabet, Google and others have announced their plans to make ChatGPT available to the public. Amazon Web Services' cloud computing unit is targeting corporate clients.
AWS, Microsoft, and Google are the three biggest cloud computing companies. They have put AI development at the top of their priority list. Each company is trying to take advantage of the growing interest in artificial-intelligence technology.
AWS will expand access to custom made chips. The chips, they claim, can run AI software cheaper and more efficiently than competitors.
Machine learning is a promising technology that has existed for decades. In the company's letter to shareholders, Andy Jassy, the Chief Executive of the company, said that machine learning has only become more widespread in the last 5 to 10 years. Amazon released Jassy's missive on Thursday.
Jassy continued: "We'll continue to invest significantly in these models for our entire consumer, seller and brand experience."
Artificial intelligence is a subset of machine learning.
Alphabet's stock rose 2.7%, finishing at 107.43. Microsoft's stock rose 2.2%, to 289.84.
Follow Brian Deagon at URL on Twitter for more information on financial markets, tech stocks and analysis.
You may also like:
The tech industry is still laying off workers as businesses reduce their overhiring.
ServiceNow stock showed how.
If you want to cut your losses faster, here's when to do it before top stocks introduce the golden sell rule
Are you looking for market insights? IBD Live Daily Segment:
Investor's Business Daily published the article Amazon makes its swan dive into ChatGPT Artificial Intelligence Pool.