OpenAI has entered into a $38 billion cloud computing deal with AWS in a deal set to extend at least seven years, the hyperscaler says. The Monday news propelled Amazon stock to an all-time high of $254 per share, up 4 percent at close. After initially working exclusively with investor Microsoft for cloud services, OpenAI has negotiated expansively to meet increased demand. This year, the startup has signed with Oracle, Nvidia, AMD and Broadcom for storage and processing power as well as funding for data center construction plans of its own, here and abroad. The strategic alliance with AWS marks OpenAI’s first such arrangement with Amazon. Continue reading OpenAI Sets $38 Billion AWS Deal for Training and Inference

OpenAI has laid out plans for five new U.S. data centers to bring its Stargate AI infrastructure project to a total of 7 gigawatts of capacity within three years. The company says that puts OpenAI on track to formalize its $500 billion, 10-gigawatt plans for Stargate by the end of 2025, ahead of schedule. The disclosure follows media coverage critical of OpenAI for moving too slowly toward its goals. There is also a SoftBank-imposed deadline of January 1 to corporately restructure in a way that allows investors to more fully participate in profits or risk losing $20 billion in funding. Continue reading OpenAI’s Five New AI Data Centers to Bring Capacity to 7 GW

Nvidia is investing up to $100 billion in a partnership with OpenAI that will result in what Nvidia CEO Jensen Huang predicts will be “the biggest AI infrastructure deployment in history.” The project will use about 10 gigawatts worth of Nvidia systems — including the upcoming Vera Rubin platform — power equivalent to 4 million to 5 million GPUs. “This partnership is about building an AI infrastructure that enables AI to go from the labs into the world,” Huang said on CNBC’s “Halftime Report,” explaining the $100 billion will be invested in stages as each gigawatt is deployed. The investment will be all-cash with Nvidia receiving an undisclosed amount of OpenAI equity. Continue reading Nvidia Investing $100 Billion in OpenAI Data Center Build-Out

In one of the largest cloud computing deals ever, OpenAI has contracted with Oracle for $300 billion in processing power over five years starting in 2027. Oracle has committed to 4.5 gigawatts of capacity. A typical nuclear plant caps at 1 gigawatt of output generated at any given instant. The deal involves risk for both companies. OpenAI’s annual revenue of about $10 billion is far short of the amount needed to cover this tab. Oracle’s exposure comes with depending on a small number of large customers for so much revenue and the expense of expanding infrastructure to fulfill the obligation. Continue reading OpenAI Signs $300 Billion Cloud Computing Deal with Oracle

Japan’s SoftBank has committed to investing $2 billion in U.S. chipmaker Intel as the company struggles to gain traction in the exploding artificial intelligence space and catch up in the mobile market. SoftBank has agreed to purchase roughly 87 million Intel shares at $23 per share to become the company’s fifth or sixth-largest shareholder. The move comes as the Trump administration deliberates converting the U.S. government’s CHIPS Act grants into a 10 percent equity stake in the company as part of its effort to revive American semiconductor manufacturing. Such a deal would make the government Intel’s largest stakeholder. Continue reading SoftBank Invests $2 Billion in Intel as Government Mulls Stake

OpenAI has reportedly secured another $8.3 billion in funding, for a valuation of $300 billion. The new investment is a major coup for the firm, coming months ahead of schedule in its plan to secure $40 billion in funding by the end of the year. The company previously secured a $30 billion commitment from SoftBank if certain goals are achieved by the start of 2026. The funding news comes as ChatGPT is close to reaching 700 million weekly active users, including a significant jump in new users over the last several months. The company has also experienced an increase in paying subscribers as more enterprises and educators turn to AI. Continue reading OpenAI Raises $8.3B as ChatGPT Nears 700M Weekly Users

Oracle and OpenAI have confirmed the $30 billion per year AI data center contract reported earlier this month. The deal will provide OpenAI’s Stargate project with 4.5 gigawatts of additional data center capacity in the U.S. Oracle is a Stargate partner and has been working in partnership with OpenAI on the Stargate I site, coming online in Abilene, Texas. “This additional partnership with Oracle will bring us to over 5 gigawatts of Stargate AI data center capacity under development, which will run over 2 million chips,” OpenAI explains. The “investment will create new jobs, accelerate America’s reindustrialization, and help advance U.S. AI leadership.” Continue reading OpenAI and Oracle Confirm $30B Annual Data Center Contract

OpenAI is adding Google Cloud to its list of global infrastructure providers for ChatGPT after relying exclusively on Microsoft Azure since the chatbot’s 2022 launch until January 2025 when Stargate was announced. Oracle and CoreWeave are also OpenAI cloud providers. Oracle is a Stargate investor, as is Nvidia, which holds a minority interest in CoreWeave. OpenAI has been active as it heads toward a December deadline for transitioning to a for-profit company. Meanwhile, ChatGPT is integrating a payment system to receive commissions on sales it initiates, and yesterday OpenAI launched a new AI agent that can perform complex tasks within a user’s browser. Continue reading OpenAI Contracts Google Cloud and Debuts ChatGPT Agent

Stargate UAE is the first major deal announced by the OpenAI-led Stargate consortium in its march to develop giant data centers for artificial intelligence around the world. The massive Abu Dhabi cluster is expected to go live with 200 megawatts in 2026 then scale up to 1 gigawatt — enough to power a million homes — eventually taking its place as part of a 5GW UAE-U.S. AI technology cluster in the region. Stargate partners G42, Oracle, Nvidia, Cisco and SoftBank are participating in the build-out, which OpenAI explains was “developed in close coordination with the U.S. government.” Continue reading OpenAI-Led Stargate UAE Is Latest in Middle East Tech Push

Two years after entering into a collaboration to develop an AI device to succeed the smartphone, OpenAI has agreed to purchase io, Jony Ive’s device and design startup. The $6.4 billion all-stock deal will bring OpenAI to the hardware business and possibly foster the next steps toward ambient computing. “The io team, focused on developing products that inspire, empower and enable, will now merge with OpenAI to work more intimately with the research, engineering and product teams in San Francisco,” OpenAI announced, adding that Ive will assume “deep creative and design responsibilities across OpenAI and io.” Continue reading OpenAI Acquiring Jony Ive’s io in a Deal Valued at $6.4 Billion

Nvidia is rolling out DGX Cloud Lepton, a platform that connects AI developers with GPU access available through various cloud providers. Nvidia calls it “a compute marketplace” that offers tens of thousands of GPUs through a global network that features Nvidia Cloud Partners (NCPs). Among them: CoreWeave, Crusoe, Firmus, Foxconn, GMI Cloud, Lambda, Nebius, Nscale, Softbank Corp. and Yotta Data Services — offering Nvidia Blackwell and other architecture GPUs. Developers can tap into GPU compute capacity in specific regions for both on-demand and long-term computing, Nvidia says, adding that it expects leading cloud computing providers to eventually sign on. Continue reading DGX Cloud Lepton: Nvidia’s New GPU Compute Marketplace

OpenAI has closed a $40 billion funding round, a record for a private tech firm. The infusion gives the nine-year-old San Francisco startup a $300 billion valuation making it the second most richly apprised private firm in the world, second only to SpaceX at $350 billion and tied with ByteDance, according to CNBC. The round was led by SoftBank Group contributing $30 billion, which likely gives the Japanese holding company the second largest stake, after Microsoft, which is said to have received a commitment for 49 percent of any profits in exchange for nearly $14 billion. Continue reading OpenAI Closes the Largest Private Tech Funding Round Ever

Japanese tech investment firm Softbank has agreed to acquire Silicon Valley chip startup Ampere for $6.5 billion, indicating that technology originating in smartphones will eventually become integral to global data centers and the future of artificial intelligence. The eight-year-old Ampere sells chips based on Arm technology, the processor type used in virtually all mobile phones. SoftBank purchased Arm in 2016 and has since been working to ensure the technology becomes used more broadly. Softbank says it will allow Ampere to retain its own name, operating it as a wholly-owned subsidiary. Continue reading Softbank Agrees to Acquire Chipmaker Ampere for $6.5 Billion

On the heels of announcing a $6.6 billion funding round, OpenAI is getting busy with new products including the launch of the latest iteration of ChatGPT. The chatbot will now extend beyond simple questions and answers with Canvas, a new interface that opens in a separate window, allowing collaborative engagement with ChatGPT on writing and coding projects. Launching in beta, Canvas was built with GPT-4o and can be manually selected in the model picker. Canvas is being made available first to global ChatGPT Plus and Team users with Enterprise and Edu users next. The company says it will be available to all free ChatGPT users when it’s out of beta. Continue reading ChatGPT Enhances Collaborative Ability with Canvas Interface

Masayoshi Son, CEO of Japan’s SoftBank, wants to transform the tech conglomerate’s Arm subsidiary into an AI powerhouse, and he is investing $64 billion (10 trillion yen) to implement the plan, which includes turning the UK-based unit into an AI chip supplier. Son announced that by spring 2025 Arm is expected to have its first prototype, followed by mass production by contract suppliers and commercial sales in the fall. Arm designs but does not manufacture circuitry, supplying what it calls “chip architecture” to customers including Nvidia and Qualcomm. Continue reading SoftBank’s Arm Plans to Supply AI Chips, Open Data Centers