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Technology

Amazon Shuts AGI Lab, Scales Back Nova AI Models: What Went Wrong?

hellohimachalse@gmail.com 28 Oct 2026 2 hours ago
Amazon is making major changes to its artificial intelligence business, scaling back several of its in-house Nova AI models and shutting down a research lab in San Francisco. The restructuring, first reported in July, has raised questions about the company’s efforts to compete with OpenAI, Google and Anthropic in developing advanced AI systems.

According to reports from The Information, Amazon has shifted employees and computing resources away from several existing projects to concentrate on a new generation of AI models. The company has confirmed the closure of its San Francisco AGI Lab and job cuts within its artificial general intelligence organisation. Amazon maintains that development of its own AI models will continue.

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Which Amazon Nova AI models are being discontinued?

Amazon has reportedly begun phasing out several Nova models that it previously developed for different AI tasks.

These include:

  • Nova Premier: A high-end AI model for complex tasks.

  • Nova Omni: A model designed to work with different types of information.

  • Nova Reel: Amazon’s AI video-generation model.

  • Nova Canvas: An AI image-generation model.

Reuters reported that Amazon was reducing active development of these models. Some existing systems would continue receiving limited support for customers already using them.

Amazon has not announced the shutdown of its entire Nova family.

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Why is Amazon changing its AI strategy?

The restructuring appears to reflect Amazon’s decision to concentrate research spending and computing resources on fewer projects.

Its Nova models have struggled to attract the same attention as competing systems from OpenAI, Anthropic and Google.

Amazon is now prioritising its Frontier Model Research initiative, led by AI researcher Pieter Abbeel. The team is developing a new flagship model that reports suggest could appear at Amazon’s re:Invent conference later this year.

The company has not confirmed a launch date.

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What happens to Amazon’s AGI lab and existing services?

Amazon closed its San Francisco AGI Lab in July following layoffs. The facility had worked on AI agents, including technology that could carry out tasks through web browsers.

The company’s Nova Act service remains available through AWS. Nova Forge, which allows businesses to customise AI models, continues receiving support.

An Amazon spokesperson told Reuters, “We’re continuing to invest in and support the Nova models our customers rely on today.”

The changes suggest Amazon is concentrating its research efforts on a smaller number of advanced AI systems. Its broader AGI organisation remains active, even as individual projects and teams face cuts.

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