"On Monday, OpenAI announced it has signed a seven-year, $38 billion deal to buy cloud services from Amazon Web Services to power products like ChatGPT and Sora. The agreement gives OpenAI access to hundreds of thousands of Nvidia graphics processors to train and run its AI models. "Scaling frontier AI requires massive, reliable compute," OpenAI CEO Sam Altman said in a statement. "Our partnership with AWS strengthens the broad compute ecosystem that will power this next era and bring advanced AI to everyone.""
"OpenAI will reportedly use Amazon Web Services immediately, with all planned capacity set to come online by the end of 2026 and room to expand further in 2027 and beyond. Amazon plans to roll out hundreds of thousands of chips, including Nvidia's GB200 and GB300 AI accelerators, in data clusters built to power ChatGPT's responses, generate AI videos, and train OpenAI's next wave of models. Wall Street apparently liked the deal, because Amazon shares hit an all-time high on Monday morning. Meanwhile, shares for long-time OpenAI investor and partner Microsoft briefly dipped following the announcement."
"Amid chip shortages over the past few years, finding sources of that computing muscle has been tricky. OpenAI is reportedly working on its own GPU hardware to help alleviate the strain. But for now, the company needs to find new sources of Nvidia chips, which accelerate AI computations. Altman has previously said that the company plans to spend $1.4 trillion to develop 30 gigawatts of computing resources, an amount that is enough to roughly power 25 million US homes, according to Reuters."
OpenAI signed a seven-year, $38 billion agreement with Amazon Web Services to purchase cloud services and access hundreds of thousands of Nvidia graphics processors for training and running its AI models. The capacity will support products such as ChatGPT and Sora, with planned deployment by the end of 2026 and room to expand into 2027 and beyond. Amazon will deploy GB200 and GB300 accelerators in data clusters to serve ChatGPT responses, generate AI video, and train next-generation models. The announcement lifted Amazon shares and briefly pressured Microsoft shares. OpenAI continues to face chip supply challenges and is developing its own GPU hardware while planning massive computing investments.
Read at Ars Technica
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