Amazon Is Preparing to Invest $10 Billion in OpenAI

Amazon Is Preparing to Invest $10 Billion in OpenAI

Ondřej Barták
Ondřej Barták
Entrepreneur and Programmer
19. 12. 2025
3 minutes reading
Amazon Is Preparing to Invest $10 Billion in OpenAI

Early discussions are currently underway between Amazon and OpenAI about an investment that could reach up to $10 billion, equivalent to roughly CZK 208 billion. This amount would help OpenAI develop its models, such as ChatGPT and Sora, while giving Amazon a stronger position in the AI chip market. According to available information, the deal would include not only funding but also hardware collaboration, with OpenAI using Amazon's chips.

The discussions are still at an early stage, but if the deal goes through, it would value OpenAI at more than $500 billion, or over CZK 10.4 trillion. Reports cite an anonymous source who mentioned this enormous valuation. Amazon is seeking to diversify its bets in the AI race—it previously invested $8 billion (over CZK 166 billion) in Anthropic, an OpenAI rival. It could now add OpenAI to its portfolio, strengthening its cloud services through Amazon Web Services (AWS).

Investment details and terms

According to CNBC, the negotiations are focused on a combination of a cash investment and cloud service commitments. This could allow OpenAI to reduce its dependence on Microsoft, its long-standing partner with a 27% stake. Microsoft has already invested more than $13 billion (roughly CZK 270 billion) in OpenAI, but a new deal with Amazon would allow OpenAI to use AWS to train its models. This would mean that OpenAI could offer its models through Amazon Bedrock, making them more accessible to enterprise customers who prefer AWS over Microsoft's Azure.

The Information reports that Amazon could invest at least $10 billion, with the possibility that the overall funding round could exceed that amount. Other investors, such as SoftBank and existing partners like Thrive Capital, are also expected to take part in the negotiations. The deal could be finalized in early 2026 and include a mix of equity and convertible bonds. OpenAI plans to acquire hundreds of thousands of Amazon's Trainium2 chips, which are cheaper than Nvidia's—up to 40% cheaper for training large models such as GPT-5. These chips would be deployed in AWS clusters, helping OpenAI address the chip shortage discussed by OpenAI CEO Sam Altman.

Circular deals in the AI world

This potential partnership follows the trend of circular deals in the AI industry, as described by TechCrunch. For example, in March, OpenAI invested $350 million (over CZK 7 billion) in CoreWeave, which then purchased chips from Nvidia. OpenAI uses these chips for training, increasing the value of the investment. In October, OpenAI acquired a 10% stake in AMD and committed to using its AI GPUs as well. It also struck a deal with Broadcom to use its chips. And in November, OpenAI signed a $38 billion (over CZK 790 billion) cloud deal with Amazon that includes data centers and Nvidia chips.

Amazon recently introduced the latest version of its Trainium chips and is planning further development. If the deal with OpenAI goes through, Amazon would gain not only a stake but also a commitment from OpenAI to use its chips, generating additional revenue.

Market impact

Such an investment could face regulatory scrutiny because major technology companies such as Amazon, Microsoft, and Google are under close watch over antitrust concerns in AI. According to CNBC, the deal would be structured as a non-controlling minority stake to avoid potential issues. For OpenAI, it would mean more resources for development, including the Orion model, while Amazon would strengthen its competitiveness against Azure and Google Cloud.

These negotiations come after OpenAI completed its transition to a for-profit model in October, giving it greater freedom to seek investors. Sam Altman, CEO of OpenAI, has previously described the chip shortage as a "national emergency," and this deal could help him address the problem.

Category:AI
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