[Digital Today reporter Chi-gyu Hwang (황치규)] Amazon plans to invest up to $50 billion in OpenAI and strengthen strategic cooperation. Cooperation between the two companies is expected to have a significant impact on Amazon’s AI and cloud businesses.

CNBC reported on Feb. 27 (local time) that OpenAI plans to use Amazon Web Services (AWS) infrastructure and adopt the AI chip Trainium to build a new enterprise platform called Frontier. Amazon CEO Andy Jassy (앤디 재시) stressed in an interview with CNBC, "OpenAI choosing AWS is a signal that we are strengthening our position in the AI chip market."

Amazon plans to maintain its cooperation with existing AI partner Anthropic. Anthropic provides models used for Amazon’s AI products Rufus and Alexa+. Jassy said, "Our relationship with Anthropic will continue to remain strong," and said cooperation with OpenAI will not affect the existing partnership.

OpenAI plans to spend $100 billion on AWS over the next eight years through this cooperation. That is more than three times the size of the existing contract. The partnership is seen as a move by OpenAI to diversify cooperation centered on Microsoft. Microsoft has invested more than $13 billion in OpenAI since 2019 and still holds exclusive licenses to OpenAI models and products. CNBC reported that cooperation with Amazon was also something agreed in advance.

Amazon’s investment will be made conditionally. It plans to invest an initial $15 billion and then commit an additional $35 billion if OpenAI achieves certain goals. One of the investment conditions is for OpenAI to develop artificial general intelligence (AGI), meaning a level at which AI can replace most human work.