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

On Monday, Amazon announced a partnership that will allow OpenAI to use the company’s cloud computing services to run AI systems for products like the popular ChatGPT. OpenAI is paying $38 billion to access Amazon Web Services (AWS) servers and “hundreds of thousands of state-of-the-art NVIDIA GPUs.”

Amazon says the constraint right now is power, not chips; it’s giving plenty of the latter to OpenAI. Then, Amazon solves groceries by getting faster tat delivering everything else.

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.