OpenAI signs $38bn cloud computing deal with Amazon
OpenAI signs $38bn cloud computing deal with Amazon

OpenAI has signed a $38bn (£29bn) deal to use Amazon Web Services (AWS) datacentres and Nvidia chips to power its artificial intelligence products. The agreement is part of a broader $1.4tn spending commitment on AI infrastructure announced by OpenAI's chief executive, Sam Altman.

The deal gives OpenAI access to hundreds of thousands of Nvidia graphics processors to train and run its AI models, including ChatGPT. Amazon will use the chips in data clusters to power ChatGPT's responses and train OpenAI's next generation of models.

Altman said the partnership with AWS strengthens the compute ecosystem needed for the next era of AI. AWS chief executive Matt Garman noted that OpenAI continues to push boundaries and that Amazon's infrastructure will support its ambitions.

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OpenAI has committed to developing 30 gigawatts of computing resources, enough to power roughly 25 million US homes. The company recently converted to a for-profit corporation valued at $500bn, with Microsoft holding a 27% stake.

Concerns have been raised about how OpenAI will fund its infrastructure commitments, given its annual revenue of about $13bn. Altman dismissed these concerns, stating that the company makes 'well more' than the reported figure. Analysts estimate global datacentre spending will reach nearly $3tn by 2028.

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