Amazon will invest $50 billion in OpenAI as they announce strategic partnership

NEW DELHI: OpenAI and Amazon have announced a multi-year strategic partnership to accelerate AI innovation for enterprises, startups, and end consumers around the world.

Amazon will also invest $50 billion in OpenAI, starting with an initial $15 billion investment and followed by another $35 billion in the coming months when certain conditions are met, according to a statement from OpenAI.

OpenAI and Amazon are jointly developing a Stateful Runtime Environment powered by OpenAI’s models, which will be available through Amazon Bedrock.

Stateful developer environments are the next generation of how frontier models will be used, seamlessly enabling models to access elements like compute, memory, and identity. A Stateful Runtime Environment allows developers to keep context, remember prior work, work across software tools and data sources, and access compute. They’re designed to handle ongoing projects and workflows.

Helping AI reach more people requires deep collaboration across the ecosystem.

Today we’re announcing new investment, with support from @SoftBank, @NVIDIA, and @Amazon, to scale the infrastructure needed to bring AI to everyone.https://t.co/xW0ItgMTLe

— OpenAI (@OpenAI) February 27, 2026

“These stateful developer environments will be trained to run optimally on AWS’s infrastructure and integrated with Amazon Bedrock AgentCore and infrastructure services so customers’ AI applications and agents run cohesively with the rest of their infrastructure applications running in AWS. The Stateful Runtime Environment is expected to launch in the next few months”, the statement read.

AWS will serve as the exclusive third-party cloud distribution provider for OpenAI Frontier, expanding access to OpenAI’s most advanced enterprise platform as demand for AI deployment accelerates across industries.

Frontier enables organizations to build, deploy, and manage teams of AI agents that operate across real business systems with shared context, built-in governance, and enterprise-grade security, without managing underlying infrastructure. As companies move from experimentation to production AI, Frontier makes it straightforward to integrate powerful AI into existing workflows quickly, securely, and at global scale.

OpenAI and AWS are expanding their existing $38 billion multi-year agreement by $100 billion over eight years. The expansion includes OpenAI committing to consume approximately 2 gigawatts of Trainium capacity through AWS infrastructure, which will support demand for Stateful Runtime, Frontier, and other advanced workloads. This agreement lowers the cost and improves the efficiency of producing intelligence at scale.

Under this structure, OpenAI secures long-term capacity while working with AWS to deploy purpose-built silicon alongside its broader compute ecosystem, enabling enterprises to consume intelligence on demand without managing underlying infrastructure.

This commitment spans both Trainium3 and next-generation Trainium4 chips and will power a broad range of advanced AI workloads. Trainium4, expected to begin delivery in 2027, will provide another major performance gain, including significantly higher FP4 compute performance, expanded memory bandwidth, and increased high-bandwidth memory capacity to support increasingly capable AI systems at scale.

“OpenAI and Amazon will collaborate to develop customized models available to Amazon developers to power Amazon’s customer-facing applications. Amazon teams will be able to tailor OpenAI models for use across AI products and agents that serve customers directly. These capabilities will complement the models already available to Amazon developers, including Amazon’s Nova family, offering another tool for teams to build and deliver at scale,” the statement concluded. (ANI)