Amazon Teams With Newly-Minted Physical AI Unicorn Odyssey | PYMNTS.com

Amazon-backed Odyssey is drawing attention after a $310 million funding round that values the startup at about $1.45 billion. Odyssey builds AI systems that simulate the physical world and create 3D environments from world models rather than relying on language alone. As part of the deal, Amazon Web Services will be Odyssey's preferred cloud provider and the startup will deploy the latest Trainium chips. The partnership is designed to accelerate robotics development amid worker shortages and to broaden enterprise use of physics-based AI. Odyssey sits among a small group of early-stage firms pursuing models trained on physics and object relationships, a so‑called second wave of AI beyond language. Investors include Jay Zaveri of Natural Capital, who describes the round as part of that shift, while Odyssey's co‑founder Oliver Cameron emphasizes a deeper world understanding including physics and dynamics. With talent shortages worsening, about 72% of employers report difficulties filling roles, and demographic shifts could drive senior populations higher through 2035, underscoring the pressure to automate more tasks.