Amazon Unveils $11 Billion AI Data Center, Bolstering Strategic Partnership with Anthropic

October 29, 2025


Amazon.com Inc. (AMZN) officially inaugurated its massive $11 billion "Rainier" data center in Indiana on Wednesday, a facility purpose-built to advance its partnership with artificial intelligence firm Anthropic. The launch marks a significant escalation in the cloud infrastructure race.


The new data center, situated on a 1,200-acre site, is equipped with approximately 500,000 of Amazon's custom Trainium2 AI chips. Company officials confirmed there are concrete plans to double the facility's capacity in response to growing demand. An AWS engineer, Ron Diamant, described the project as one of Amazon Web Services' most ambitious infrastructure undertakings to date, engineered specifically to power the next generation of generative AI systems.


The market responded positively to the news, with Amazon shares rising 1.5% in premarket trading. This investment deepens Amazon's strategic stake in Anthropic, an AI company in which it has made multiple investments. Anthropic was most recently valued at approximately $183 billion following a funding round in September.


The primary function of the Rainier data center will be to train and operate Anthropic's AI models. This includes not only supporting the company's current offerings but also training future iterations of its flagship Claude chatbot series. The project solidifies Amazon's position in the competitive AI infrastructure landscape, where cloud "hyperscalers" are vying to secure exclusive partnerships with leading AI model developers.


SOURCE finance.yahoo.com

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