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Amazon’s cloud unit, AWS, invests $100 million in a generative AI center to enhance cloud infrastructure services capabilities and maintain market leadership. This move aims to bridge the gap between Amazon’s AI experts and clients seeking advanced technology applications, amidst rising competition from Microsoft and Google.

Amazon Web Services (AWS) has committed $100 million to support generative AI startups through its Generative AI Innovation Center. This technology, capable of producing innovative content, has the potential to add $4.4 trillion annually to the global economy and revolutionize diverse industries.

Amazon plans to reinvent online search using advanced artificial intelligence for an interactive conversation-like experience driven by next-generation deep learning techniques. This could improve customers’ ability to find answers to product questions, perform comparisons, and receive personalized suggestions, while presenting potential challenges in ensuring accuracy and reliability of AI-generated content.

Amazon is increasingly using AI to enhance delivery speeds and improve customer satisfaction by optimizing inventory placement and regionalization. AI helps predict product demand, identify suitable inventory placement, and facilitate same-day or next-day deliveries from nearby distribution centers.