Amazon overhauls its AI strategy, winding down most flagship models - Business Insider

What the report says

Business Insider reported that Amazon is reshaping its artificial intelligence strategy by winding down many of its in-house Nova models and redirecting staff and computing capacity toward a new frontier-model program. The report, published July 28, said the changes follow recent layoffs in Amazon’s Artificial General Intelligence organization and the closure of AGI Lab, a research unit formed in 2024 after Amazon hired much of the team from AI startup Adept.

According to Business Insider’s account, Amazon has begun deprecating several flagship Nova products, including Premier, Omni, Reel for video generation and Canvas for image generation. Some employees described those models as being kept available for existing users but no longer treated as major development priorities. Business Insider reported that resources are increasingly going to Frontier Model Research, an internal effort led by Pieter Abbeel, who joined Amazon through its acquisition of the robotics AI startup Covariant.

The report said Frontier Model Research is working on a new foundation model that could be introduced at Amazon’s re:Invent conference, typically held in the fall. Amazon told Business Insider it continues to support deployed models for customers and remains invested in frontier AI, while also updating its lineup as customer needs and model capabilities change.

The shift places greater focus under Peter DeSantis, Amazon’s senior vice president overseeing foundational AI models, custom silicon and quantum computing. Business Insider described the move as a notable narrowing of Amazon’s AI ambitions after earlier efforts to build multiple model families across text, image and video, and after CEO Andy Jassy had elevated AGI work as a central company priority.