Amazon says Upstage enters strategic collaboration with AWS to broaden generative AI access

Amazon says Upstage enters strategic collaboration with AWS to broaden generative AI access
Technology
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Andy Jassy, CEO for Amazon | X

Amazon Web Services (AWS) has announced a collaboration with Upstage to co-sell and support its Solar language models. This partnership, bolstered by a minority investment from Amazon, aims to expand access to affordable generative artificial intelligence (AI) across the Asia-Pacific region and the United States, as said in a company press release.

The Asia-Pacific region is experiencing rapid growth in AI adoption. According to McKinsey, over 60% of organizations in this area report using at least one AI capability, surpassing North America's 55%. This trend is driving increased investment in regional innovation as cloud providers and startups work together to scale generative AI capabilities tailored to local needs.

Industry-specific large language models are gaining priority over general-purpose models for real-world applications. TechCrunch notes that entities in regulated industries and government sectors are seeking AI systems that comply with security and cultural requirements rather than relying solely on broad, English-centric models. Upstage's Solar Pro 2 model, designed for advanced reasoning and Korean language understanding, exemplifies this shift towards specialized large language models (LLMs).

Global spending on cloud infrastructure is expanding rapidly due to AI workloads. Synergy Research Group reports that enterprise spending on cloud services reached nearly US$99 billion in the second quarter of 2025, marking a 25% year-over-year increase—the fastest growth in over two years. AWS led the market with approximately a 30% share, positioning itself as the preferred partner for scaling AI companies like Upstage that require cost-effective, high-performance infrastructure.

AWS remains the world's leading cloud services provider. CIODive reports that AWS generated US$30.9 billion in revenue during Q2 2025, reflecting a 17.5% year-over-year increase while maintaining around 30% of the global market share. With more than 240 services across 117 Availability Zones in 37 geographic regions, AWS continues to support digital transformation efforts across various industries including government, finance, healthcare, and education.