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OpenAI Partners with Amazon in $38 Billion Deal to Boost AI Infrastructure

OpenAI Partners with Amazon in $38 Billion Deal to Boost AI Infrastructure
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OpenAI has entered a $38 billion agreement with Amazon to power its artificial intelligence systems through Amazon’s data centres across the United States, marking one of the largest cloud partnerships in the AI industry.

Under the deal announced Monday, OpenAI will leverage Amazon Web Services (AWS) to access “hundreds of thousands” of Nvidia’s specialised AI chips. The move is designed to meet the growing demand for high-performance computing as AI models continue to expand in complexity and scale.

Amazon said OpenAI will begin using AWS computing resources immediately, with full capacity expected to be deployed by the end of 2026. The agreement also allows for further expansion into 2027 and beyond.

In a statement, Amazon noted that the “rapid advancement of AI technology has created unprecedented demand for computing power,” positioning the partnership as a strategic step to strengthen both companies’ roles in the global AI ecosystem.

The deal reinforces Amazon’s position as a key cloud provider in the competitive AI infrastructure market, while giving OpenAI the computing scale it needs to advance its models and maintain its leadership in generative AI.

News Source: Emirates News Agency

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Shahba Mayyeri

Written by Shahba Mayyeri

Shahba is a Content Creator at HiDubai with 3 years of experience in crafting compelling stories and articles. She holds a Master’s degree in Media and Communications from MAHE Dubai.
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