OpenAI and Amazon ink $38B cloud computing deal  

OpenAI did not secure the AI ​​infrastructure needed to rapidly scale agentic workloads. On Monday the chatgpt-maker reported that it had reached a Deal with Amazon $38 billion over the next seven years to buy cloud computing services.

OpenAI said it will begin using AWS Compute immediately, with all capabilities targeted for deployment before the end of 2026, with the ability to expand into 2027 and beyond.

Following the agreement Reconstruction of OpenAI Last week, that freed the company from securing Microsoft’s approval to buy computing services from other companies.

OpenAI’s deal with Amazon is part of a larger mission to increase computing power, consumption over $1 trillion over the next decade. The company has made a new announcement Data center buildout with the oracleSoftBank, United Arab Emirates, and others. OpenAI also has a deal with chipmaker Nvidia, AMDand Broadcom.

per Some analystsIncreased investment form OpenAI and other tech giants indicates that the industry is moving in a direction The AI ​​bubbleWhere large sums of money are spent on an unproven, and potentially dangerous, investment with no clear sign of meaningful return.