Adept, a startup specializing in AI-powered agents, has made a deal with Amazon to license its technology. As part of the agreement, Adept’s co-founders and some team members will join Amazon. However, Adept will not shut down completely; instead, Zach Brock, the head of engineering, will take over as the CEO. The company will refocus its efforts on developing solutions that enable agentic AI.
The partnership with Amazon comes as a lifeline for Adept, which had been in talks with Meta and Microsoft about a potential acquisition. Additionally, Microsoft had previously invested in the startup. For Amazon, the deal brings valuable talent and technology to bolster its generative AI ambitions. David Luan, Adept’s co-founder and CEO, will work under Rohit Prasad, who leads a new AGI team focused on building large language models.
Adept was founded with the goal of creating an AI model capable of performing actions on any software tool using natural language. The startup managed to attract significant backing from investors such as Nvidia, Atlassian, Workday, and Greylock, raising over $415 million in capital and reaching a valuation of around $1 billion. However, Adept faced internal challenges, losing two co-founders early on and struggling to bring products to market despite extensive testing.
While the market for AI agents has become more competitive since Adept’s launch, the partnership with Amazon could help the startup succeed. Well-funded competitors like Orby and Emergence are also vying for a share of the lucrative AI agents segment, estimated to be worth $4.2 billion in 2022 by market research firm Grand View Research.
The fate of Adept remains uncertain. It could thrive under Amazon’s wing or face a similar outcome as Inflection, another AI startup that lost talent after being acquired by Microsoft. Furthermore, regulatory scrutiny of AI acquisitions may impact the future of such deals. As the situation unfolds, it promises to be an intriguing development in the world of AI technology.
