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OpenAI Secures Staggering $100 Billion Investment from Tech Giants, Valuation Soars to $730 Billion
SAN FRANCISCO, CA – February 27, 2025 – Artificial intelligence powerhouse OpenAI has announced a monumental $100 billion investment from tech titans Amazon, Nvidia, and Softbank, catapulting the company’s pre-money valuation to an astounding $730 billion. This unprecedented funding round, one of the largest private investments in history, more than doubles the capital raised by OpenAI in a previous 2025 funding effort.
The infusion of capital comes from Amazon contributing $50 billion, Nvidia $30 billion, and Softbank an additional $30 billion. Industry sources like CNBC and TechCrunch report that this record-breaking fundraising round is not yet closed, with further investors anticipated to join.
This latest investment significantly expands upon an existing multi-year agreement between Amazon and OpenAI, which was valued at $38 billion. OpenAI confirmed in a press release that this partnership is slated for a massive $100 billion expansion over the next eight years.
OpenAI CEO Sam Altman expressed enthusiasm about the new deals in an interview with CNBC, stating, “We’re super excited about this deal. AI is going to happen everywhere. It’s transforming the whole economy, and the world needs a lot of collective computing power to meet the demand.”
A key element of the deepened collaboration between Amazon and OpenAI centers on the development of a Stateful Runtime Environment, which will operate on Amazon Web Services (AWS). Furthermore, AWS is set to become the exclusive third-party vendor for OpenAI Frontier, an enterprise platform designed for AI agent deployment.
The ever-increasing demand for computational power to fuel AI systems has been a critical factor in this expansion. The Amazon deal will empower OpenAI to embark on developing custom AI applications, notably one tailored for Amazon’s extensive customer-facing platforms.
Despite these new ventures, OpenAI has reaffirmed its enduring partnership with Microsoft, which dates back to 2019. In a joint statement, both companies assured that the new investment deals would not impact their existing relationship, emphasizing that their collaboration “remains strong and central.” Microsoft Azure will continue its role as the exclusive cloud provider for stateless OpenAI APIs, and OpenAI Frontier will maintain its hosting on Azure.