Story thread · 5 reports / 5 sources

Amazon spent $1.8 million on a failed AI project, and didn't notice the overrun for five months

techspot.com · 11dShare

In one case, Amazon spent $1.8 million on a project that used Anthropic's Claude Sonnet model to match author information with product listings. The system ultimately failed, and spending exceeded the original budget by 860%. The issue went undetected for five months. Read Entire Article

First report: Amazon accidentally spent $1.8 million using Claude for menial coding task, went 860% over budget — 'catastrophically expensive' coding blunders discovered in internal Amazon AI usage metrics — tomshardware.com, 12d