OpenAI, Amazon Sign $38 Billion Cloud Deal

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Amazon OpenAI $38B Deal

In a monumental move that reshapes the artificial intelligence landscape, Amazon Web Services (AWS) announced Monday a seven-year, $38 billion strategic alliance with OpenAI, the creator of ChatGPT. The agreement will make AWS the computing backbone behind OpenAI’s next generation of models — a deal that underscores the intensifying global race to control AI infrastructure.

The partnership, one of the largest cloud-infrastructure commitments in history, will see OpenAI deploy hundreds of thousands of NVIDIA GPUs within AWS’s global network to power real-time ChatGPT responses and future AI training workloads.

“This alliance will be the backbone of OpenAI’s most ambitious projects,” said Matt Garman, CEO of AWS. “AWS’s optimized, ready-to-scale infrastructure makes us uniquely capable of supporting OpenAI’s vast and growing AI workloads.”

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OpenAI’s Expanding Compute Empire

Under the Amazon OpenAI $38B Deal, OpenAI will begin immediate integration with AWS compute capacity, with all systems expected to go live by the end of 2026, and possible extensions into 2027 and beyond.

OpenAI CEO Sam Altman called the agreement vital for “scaling frontier AI,” adding that it “strengthens the global compute ecosystem that will drive the next era of artificial intelligence and bring advanced AI to everyone.”

The collaboration builds on OpenAI’s growing presence within Amazon Bedrock — AWS’s multi-model AI platform launched earlier this year — where OpenAI’s foundation models have become some of the most used offerings. Major companies like Peloton, Thomson Reuters, and Comscore already rely on these integrations to power intelligent business applications.