The emergence of generative AI is a major milestone in the field of artificial intelligence. Even though it’s only in its first year, this subset of AI technology has transformed how content is created, and proven itself capable of handling complex tasks.
It’s also introduced the prospects of an entirely new business and investments sector.
According to marketing firm, Statista, the generative AI market is set to hit US$44.89 billion in 2023 and is anticipated to grow at an annual rate of 24.40 per cent from 2023 to 2030, reaching a substantial market size of US$207 billion by 2030.
Here are five major acquisitions or collaborations in 2023.
1. Amazon and Anthropic
Amazon (NASDAQ: AMZN) partnered with AI-tech company Anthropic on Sept 25, 2023, to build safer generative artificial intelligence models that Amazon can use to make its Amazon Web Services (AWS) more accessible to its customers.
Anthropic’s claim to fame in the growing AI-space is the Claude AI platform, which is touted as one of the key competitors to OpenAI’s Chat GPT service.
Also, Amazon has announced a substantial investment of up to USD$4 billion in Anthropic, securing a minority ownership stake in the company.
As part of this partnership, AWS will assume the role of Anthropic’s primary cloud provider. This collaboration will encompass critical tasks, including safety research and the development of future foundation models. The majority of Anthropic’s workload is planned to be hosted on AWS.
Amazon will let customers use the new versions of Anthropic’s core AI models. They can do this through a service called Amazon Bedrock, which is a secure gateway to these models. AWS customers will also get early access to special features for tweaking and improving these models.
Amazon shares dipped 1.8 per cent to $127 on Tuesday on the NASDAQ exchange.
2. Infosys and NVIDIA
Global IT company Infosys Ltd. (NSE: INFY) (BSE: INFY) (NYSE: INFY) and NVIDIA Corp. (NASDAQ: NVDA) expanded their partnership to create a generative AI platform that boosts productivity for businesses on Sept. 20, 2023.
This collaboration focuses on using computer vision technology to address challenges in the retail industry, enhance shopping experiences, monitor inventory in real-time and ensure compliance with health and safety regulations. These improvements will also benefit like logistics, manufacturing and utilities departments.
Infosys Generative AI Labs and NVIDIA NeMo framework will work together to efficiently deploy large language models for various business applications. The partnership offers a scalable and cost-effective platform, integrating NVIDIA technology into Infosys’ Responsible AI Toolkit.
Additionally, Infosys combines Infosys Cortex with NVIDIA Riva speech and translation AI to develop AI-driven contact center platforms. These programs include language neutralization for seamless multilingual support and real-time customer intent and sentiment analysis, enhancing customer satisfaction and brand loyalty.
NVIDIA shares declined 1.2 per cent to $440.41 on Wednesday on the NASDAQ exchange.
Infosys shares rose 2.6 per cent to $17.43 on Wednesday on the New York Stock Exchange.
3. Microsoft and OpenAI
Microsoft (NASDAQ: MSFT) unveiled the third phase of its extensive, multi-year collaboration with OpenAI on January 23, 2023, marked by a substantial USD$10 billion investment.
The partnership’s aim is to increase AI innovation and global distribution.
Microsoft’s involvement extends to increasing investments in the development and deployment of specialized supercomputing systems to facilitate OpenAI’s pioneering AI research. Concurrently, Microsoft is expanding Azure’s leading AI infrastructure to support customers in deploying its AI applications on a global scale.
Also, Microsoft plans to integrate OpenAI’s models into its consumer and enterprise products, including the Azure OpenAI Service, which gives developers direct access to OpenAI models supported by Azure’s capabilities, as well as its AI-optimized infrastructure and tools.
Microsoft shares rose 1.8 per cent to $318.95 on Wednesday on the NASDAQ exchange.
4. Alphabet and DeepMind
Alphabet’s (NASDAQ: GOOGL) subsidiary, Google, acquired the London-based artificial intelligence firm DeepMind in 2014 for approximately USD$525 million.
Google’s move to bring DeepMind into its fold was seen as a strategic step to compete with other major technology companies in the realm of deep learning, a field where it seeks to gain a competitive edge.
On April 20, 2023, Alphabet merged an internal research team called Brain with DeepMind as a response to the competition on the AI space. The result is Google’s Bard AI.
Google opened access to Bard on in March by inviting users to join a waitlist, and then removed the waitlist in May. Now Bard is accessible in more than 180 countries and territories.
Bard, however, hasn’t been received well by users.
Google bard lies. pic.twitter.com/t8zTH17wUS
— Edwino (@Stinkingfig) October 1, 2023
Google has gone back to the drawing board to work on a new product ostensibly being called Gemini, which is believed to be four times as powerful as Chat GPT.
Alphabet shares rose 2.1 per cent to $135.24 on Wednesday on the NASDAQ exchange.
5. Meta Labs and MetaAI
Meta Labs (NASDAQ: META) unveiled MetaAI at its annual Connect conference on September 28 after spending USD$33 billion this year on expanding its AI capabilities. The MetaAI program includes a diverse range of personalities and capabilities. Additionally, the company announced a noteworthy partnership with eyewear brand Ray-Ban, which has led to the development of smart glasses featuring integration with MetaAI. These smart glasses will also incorporate other AI-powered tools that will be integrated into Meta’s suite of social media applications.
The program operates using an enhanced version of Meta’s Llama-2, a large language model. Llama-2 is a robust open-source language model that is currently in use on various AI platforms, including Quora’s Poe.com.
The program will be accessible through a traditional chatbot interface similar to ChatGPT and integrated into Meta’s messaging apps, including Messenger, Instagram, and WhatsApp.
Meta Platforms has officially acknowledged using publicly available Facebook and Instagram posts as part of the training process for its Meta AI virtual assistant. The goal behind this is to enhance the performance of artificial intelligence and machine learning systems by analyzing real user behaviors and preferences.
Meta AI was originally known as Facebook Artificial Intelligence Research (FAIR), had its presence across locations such as Menlo Park, California, its headquarters, London, United Kingdom, and Manhattan. The formal announcement of FAIR took place in September 2013.
One of FAIR’s notable contributions was the release of Torch deep-learning modules in 2017, followed by PyTorch, an open-source machine learning framework. PyTorch found applications in several deep learning technologies, including Tesla‘s autopilot system (NASDAQ: TSLA) and Uber‘s (NYSE: UBER) Pyro.
Meta Labs shares rose 1.5 per cent to $305.58 on Wednesday on the NASDAQ exchange.