Amazon might invest $50 billion in OpenAI, aiming to help the AI firm increase its valuation to $830 billion with more funding.
New York: OpenAI, which is valued at $500 billion, is looking for $100 billion in investments. This could raise its value to a huge $830 billion. The Wall Street Journal says Amazon may invest at least $50 billion in this record amount.
Not much is known about the deal yet, but Amazon CEO Andy Jassy is in talks with OpenAI’s CEO Sam Altman. TechCrunch asked both Amazon and OpenAI for comments.
OpenAI is also talking to companies in the Middle East and has spoken to Nvidia, Microsoft, and SoftBank about more funding. They expect the deal to finish by the end of March.
A partnership between Amazon and OpenAI would be interesting because Amazon works closely with Anthropic, OpenAI’s competitor. Amazon’s AWS helps Anthropic with cloud services, and they have invested $8 billion into Anthropic. Also, Amazon just built an $11 billion data center in Indiana to run Anthropic’s models.