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Update: Market Chatter: Amazon Revamps AI Strategy, Prioritizes New Frontier Model

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(Updates with Amazon comments in the last two paragraphs.)

Amazon.com (AMZN) is scaling back development of several in-house AI models and reorganizing its teams to focus on a new frontier foundation model, Business Insider reported Tuesday, citing people familiar with the matter.

The company has shifted resources away from most of its Nova AI models, now maintained primarily for existing customers, following layoffs in its Artificial General Intelligence organization and the shutdown of its AGI Lab, the report said.

Amazon is focusing engineering resources on its Frontier Model Research initiative, with a new flagship foundation model expected to debut at its conference later this year, the report said.

"We're continuing to invest in and support the Nova models our customers rely on today, including through Nova Forge, which lets businesses build their own models on Nova as a foundation," an Amazon spokesperson said in an emailed statement to. "As with any AI portfolio, we continually evolve our model lineup based on what customers need, and we always provide customers clear guidance and migration paths as models advance."

"We're also investing in the next generation of frontier model research, and Amazon's commitment to building advanced AI models is as strong as it's ever been," according to the statement.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

Price: $231.27, Change: $-0.13, Percent Change: -0.05%

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