Shares of cloud computing and online retail behemoth Amazon (NASDAQ:AMZN) jumped 4.9% in the afternoon session after the company announced a landmark $38 billion, multi-year cloud services agreement with OpenAI,

Under the Verizon AI Connect agreement, the telecom giant will construct long-haul, low-latency fiber pathways to enhance the performance and reliability of AI workloads running on AWS cloud. The companies did not disclose financial details of the deal.

Verizon Business today announced a new Verizon AI Connect deal with Amazon Web Services (AWS) to provide the resilient high-capacity, low-latency network infrastructure essential for the next wave of artificial intelligence (AI) innovation.

Amazon (NASDAQ:AMZN) reported strong third-quarter results on Thursday, with its cloud business AWS showing robust artificial intelligence (AI)-driven demand resulting in a 150% quarterly surge in Trainium chip usage.

Verizon Business (VZ) struck a deal with Amazon Web Services (AMZN) on Monday under which the U.S. telecom will build new fiber pathways connecting AWS data center locations. Verizon will build high-capacity,

User complaints surged on tracking site DownDetector just after noon Eastern time, with most reports concentrated in the company’s US-EAST-1 region.

“AWS is growing at a pace we haven’t seen since 2022, re-accelerating to 20.2% YoY,” Andy Jassy, the president and CEO of Amazon, said in the company’s earnings announcement. “We continue to see strong demand in AI and core infrastructure, and we’ve been focused on accelerating capacity — adding more than 3.8 gigawatts in the past 12 months.”

By Rashika Singh and Deborah Mary Sophia (Reuters) -Amazon shares surged more than 11% in early trading on Friday after strong growth at its cloud unit and a bullish sales outlook eased fears that the tech giant was falling behind rivals in the AI race.