Amazon in early talks to invest in OpenAI
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Fitzgerald points out that OpenAI does not have the cash to honor the $38 billion cloud-spending commitment it announced with Amazon earlier this year — let alone a “fraction of a percentage” to the more than $1 trillion in aggregate spending commitments it has floated across cloud providers, chipmakers and infrastructure partners.
OpenAI is in talks with Amazon ( AMZN +0.20%) aimed at raising an investment of at least $10 billion, first reported by The Information. Microsoft ( MSFT +0.33%) has invested over $13 billion in the AI pioneer since 2019, though after a recent restructuring OpenAI is free to pursue new partners.
As reported by News.Az, citing Reuters, Amazon is considering an investment of around $10 billion, although the talks remain at an early and fluid
Amazon is in talks to invest $10 billion in OpenAI, potentially valuing the artificial intelligence firm at over $500 billion. This comes as OpenAI prepares for a possible IPO, aiming for a $1 trillion valuation.