Amazon is discontinuing the majority of its Nova AI models.
Amazon is scaling back most of its primary Nova AI models, opting instead to concentrate on a single, larger initiative aimed at creating a truly competitive foundation model. This decision clarifies what previously appeared to be an unclear strategy involving closed offices and workforce reductions.
The company has started phasing out a majority of its internal Nova product line, as reported first by Business Insider. This includes the top-tier Premier and Omni models, Reel video generator, and Canvas image generator. Some employees have referred to this situation as “KTLO” mode, meaning “keep the lights on.” While these models will continue to be supported for current customers, they are no longer prioritized for development.
This development serves as a tangible update to a story we initially reported on months ago, when Amazon closed its AGI Lab and exited a competition it never led. At that time, the news focused on a closed lab and job losses. Now it is evident which products are being phased out and what they are being sacrificed for.
A singular focus rather than multiple initiatives
Resources are now being redirected to a new project called Frontier Model Research (FMR), under the leadership of Pieter Abbeel, who joined Amazon following its acquisition of the robotics startup Covariant in 2024. A new flagship model is anticipated to be introduced at Amazon’s upcoming re:Invent conference this autumn, and it may still retain the Nova branding.
The rationale behind this change is to concentrate efforts. Previously, under AI leader Rohit Prasad, Amazon diversified into text, image, and video models. Peter DeSantis, who took charge of the unified group in December, has streamlined talent and limited compute resources towards fewer high-stakes projects. Prasad departed at the end of 2025, followed by AGI Lab founder David Luan in February.
Nova is not disappearing entirely. Amazon has indicated that several products will remain, including Nova 2 Lite, Nova 2 Sonic, the Nova Forge customization service, and the Nova Act agent tool. However, the AGI site in San Francisco, which employed 80 researchers, has been shut down, according to reports from GeekWire.
Amazon’s competitive advantages
Amazon has not elevated Nova to a household name as OpenAI, Anthropic, and Google have done with their models. Additionally, its systems have proven to be costly to operate in relation to their returns. More affordable competitors have increased the pressure, reflecting a broader trend toward lower-cost models.
Thus, Amazon is focusing on its core strength: infrastructure. AWS serves as the foundation for a large portion of the industry, with computing commitments of $138 billion from OpenAI and over $100 billion from Anthropic. The company’s custom Trainium chips have emerged as a multibillion-dollar venture, which Jeff Bezos describes as a fourth pillar of the company.
An Amazon representative dismissed the notion of a retreat, stating, “AI models remain one of the most important things we’re working on, and that hasn’t changed,” and noting that the company “continually evolves” its offerings based on customer needs.
The more challenging question lies in whether Nova can achieve what it has yet to demonstrate. While Amazon can host models developed by others and provide the underlying chips, the crucial test will be whether it can create a frontier model that developers prefer over Claude, Gemini, or GPT. This will be assessed during the re:Invent conference.
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Amazon is discontinuing the majority of its Nova AI models.
Amazon is scaling back on the majority of its Nova AI models to concentrate on a new frontier model, which is expected to be unveiled at re:Invent this fall.
