In one of the largest cloud infrastructure deals in AI history, Amazon Web Services (AWS), the cloud arm of Amazon.com Inc., has signed a $38 billion agreement with OpenAI to provide Nvidia-powered computing resources.
Announced on Monday, the seven-year deal will give OpenAI access to hundreds of thousands of Nvidia GPUs to train and run its AI models, reflecting the company’s rising demand for high-performance computing as it scales globally.
“Our partnership with AWS strengthens the broad compute ecosystem that will power this next era and bring advanced AI to everyone,” said Sam Altman, CEO of OpenAI, in a statement.
As part of the deal, AWS will supply OpenAI with hundreds of thousands of Nvidia GPUs, including the latest GB200 and GB300 AI accelerators. These clusters will enhance ChatGPT’s speed and complexity while supporting the training of future AI models. OpenAI has begun using AWS infrastructure, with full capacity expected by 2026 and the option to expand services in the coming years.
AWS Chief Executive Officer Matt Garman said, “As OpenAI continues to push the boundaries of what’s possible, AWS’s best-in-class infrastructure will serve as a backbone for their AI ambitions.”
The deal is a major win for Amazon, which has lagged behind rivals like Microsoft Azure and Google Cloud in securing large-scale AI partnerships. Following the announcement, Amazon shares jumped 4% on Monday, closing at a record high, and surged 14% over the past two trading days, adding nearly $140 billion to its market value. Microsoft shares dipped briefly on the news.