Tech
tech
Jon Keegan

Amazon building 30 data centers in Indiana running its custom chips to power Anthropic AI

First there was xAI’s Colossus. Then there was OpenAI’s Stargate. Now Amazon has “Project Rainier.”

Tech companies are racing to build ever larger, more powerful AI data centers and betting hundreds of billions of dollars on the construction.

These massive data centers are filled with powerful GPUs to both train and run AI models, on speculation that there will be enough demand to justify the expense.

More details about Amazon’s plans are emerging, and they’re as large as the mountain they are named after. Amazon is well underway in building 30 huge data centers on one site in Indiana that will use up to 2.2 gigawatts of power, enough to power a million homes, according to a report from The New York Times.

The absurd computing capacity will be used to power AI services from its partner Anthropic, which Amazon has invested $8 billion in.

Unlike most mega-super-jumbo data centers, it won’t be filled with Nvidia’s GPUs, like OpenAI’s Stargate and Meta’s Manhattan-sized data center in Richland Parish, Louisiana.

Instead, Amazon plans on running its own custom Trainium2 chips. While less powerful than Nvidia’s market-leading Blackwell chips, Amazon plans to cram more of the purpose-built chips in its data centers and thinks it can outperform on power and efficiency.

Amazon has said it’s on track to spend $100 billion in capex this year to build out AI infrastructure.

These massive data centers are filled with powerful GPUs to both train and run AI models, on speculation that there will be enough demand to justify the expense.

More details about Amazon’s plans are emerging, and they’re as large as the mountain they are named after. Amazon is well underway in building 30 huge data centers on one site in Indiana that will use up to 2.2 gigawatts of power, enough to power a million homes, according to a report from The New York Times.

The absurd computing capacity will be used to power AI services from its partner Anthropic, which Amazon has invested $8 billion in.

Unlike most mega-super-jumbo data centers, it won’t be filled with Nvidia’s GPUs, like OpenAI’s Stargate and Meta’s Manhattan-sized data center in Richland Parish, Louisiana.

Instead, Amazon plans on running its own custom Trainium2 chips. While less powerful than Nvidia’s market-leading Blackwell chips, Amazon plans to cram more of the purpose-built chips in its data centers and thinks it can outperform on power and efficiency.

Amazon has said it’s on track to spend $100 billion in capex this year to build out AI infrastructure.

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Amazon cuts another 16,000 roles after laying off 14,000 workers in October

Amazon announced Wednesday that its cutting 16,000 roles across the company, having laid off 14,000 workers only three months ago.

“As I shared in October, weve been working to strengthen our organization by reducing layers, increasing ownership, and removing bureaucracy,” Senior Vice President of People Experience and Technology Beth Galetti wrote in the press release. “While many teams finalized their organizational changes in October, other teams did not complete that work until now.”

CEO Andy Jassy previously said that the October layoffs were “about culture” rather than AI-related cost cutting. Galetti says layoffs, now totaling 30,000, won’t become a regular occurrence.

“Some of you might ask if this is the beginning of a new rhythm — where we announce broad reductions every few months. That’s not our plan.”

CEO Andy Jassy previously said that the October layoffs were “about culture” rather than AI-related cost cutting. Galetti says layoffs, now totaling 30,000, won’t become a regular occurrence.

“Some of you might ask if this is the beginning of a new rhythm — where we announce broad reductions every few months. That’s not our plan.”

tech
Jon Keegan

Anthropic reportedly doubles current fundraising round to $20 billion

Anthropic has doubled its current fundraising round to $20 billion on strong investor demand, according reporting from the Financial Times. The new fundraising round would value the company at a staggering $350 billion. That’s up 91% from September, when it raised at a valuation of $183 billion.

The company reportedly received interest totaling 5x to 6x its original $10 billion fundraising goal, and it’s expected to haul in several billion more than that tally before the current round closes.

Anthropic’s success with enterprise customers and the popularity of its Claude Code product are boosting the company’s momentum as it chases the current valuation leader of the AI startup pack: OpenAI.

The company reportedly received interest totaling 5x to 6x its original $10 billion fundraising goal, and it’s expected to haul in several billion more than that tally before the current round closes.

Anthropic’s success with enterprise customers and the popularity of its Claude Code product are boosting the company’s momentum as it chases the current valuation leader of the AI startup pack: OpenAI.

Produce At Whole Foods Market's Flagship Store

Amazon says it’s doubling down on opening Whole Foods stores. That sounds familiar.

The company says it’ll open 100 Whole Foods locations in the next few years. That sounds similar to plans Whole Foods’ CEO laid out in 2024 for opening 30 stores a year. Since then, it appears to have added 14, total.

Rani Molla1/27/26

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