OpenAI agreed to purchase $38 billion of AWS capacity
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On Monday, OpenAI agreed to purchase $38 billion worth of capacity from Amazon Web Services. Amazon stated in a press release that OpenAI will utilize hundreds of thousands of Nvidia graphics processing units (GPUs) in the United States to run workloads on AWS infrastructure, planning to increase capacity in the coming years. Amazon stated that the rapid advancement of AI technology has created an unprecedented demand for computing power. According to Amazon, the deal’s initial phase will utilize existing AWS data centers, and Amazon will subsequently expand its OpenAI infrastructure. In an interview, AWS Vice President of Compute and Machine Learning Services Dave Brown stated that “It’s entirely separate capacity that we’re putting down.” He added that OpenAI is utilizing some of that capacity that is already available. OpenAI strengthens cloud ties beyond Microsoft 🚨 JUST IN: Amazon $AMZN has signed a $38 billion cloud partnership with OpenAI. The deal gives OpenAI massive access to Amazon Web Services — its first-ever collaboration with the cloud giant — signaling that the $500 billion #AI leader is expanding beyond its dependence on… pic.twitter.com/EARpnyiRsK — Defcon7 (@Defcon7_) November 3, 2025 Amazon and OpenAI’s partnership comes less than a week after the ChatGPT developer altered its relationship with Microsoft. Microsoft, which first invested $13 billion in OpenAI in 2019, has an exclusive cloud relationship with the artificial intelligence (AI) startup. Microsoft announced in January that it would no longer be the exclusive OpenAI cloud provider and was switching to a system that would give it the first say in any new requests. Microsoft’s special standing under its recently agreed commercial terms with OpenAI ended last week, allowing the developer of ChatGPT to expand its partnerships with the other hyperscalers. The AI startup had already signed cloud agreements with Google and Oracle, but AWS leads…
Filed under: News - @ November 4, 2025 3:25 am