OpenAI (PC:OPAIQ) has signed a new $38 billion agreement with Amazon Web Services ($AMZN) for cloud services over seven years. The deal will

The deal will give OpenAI access to AWS’s large-scale AI infrastructure, which includes clusters of more than 500,000 chips.

The news comes less than a week after the ChatGPT developer revised the terms of its relationship with Microsoft Corp. The tech giant was OpenAI’s sole cloud provider for about two years. Under the modified partnership, Microsoft no longer has the right of first refusal on OpenAI cloud contracts.

When it comes to artificial intelligence (AI), perhaps no one commands more attention than Sam Altman, the CEO of ChatGPT maker OpenAI. On Nov. 3, OpenAI announced a headline-grabbing $38 billion partnership with e-commerce and cloud titan Amazon ( AMZN 1.81%).

Amazon gains a marquee client for AWS, its profit engine, validating billions invested in AI-ready infrastructure. The deal bolsters AWS against rivals Microsoft Azure and Google Cloud, while tying OpenAI closer to Amazon's ecosystem—building on prior integration of OpenAI's open-weight models into AWS services like Bedrock.

OpenAI's $38 billion switch to Amazon Web Services after its restructure reshapes the AI landscape, sparking industry tension and global anticipation.