Amazon stock is up about 17% by 2025, with most of those gains coming last week.
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Amazon shares rose to a record high on Monday after the tech giant said it had reached a $38 billion cloud computing deal with OpenAI.
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The deal allows OpenAI to use Amazon’s bank of hundreds of thousands of Nvidia chips.
Amazon shares rose to a record high on Monday after the tech giant said it had reached a $38 billion deal with OpenAI.
Amazon Stock (AMZN) are up about 5%, around $255, in recent trading, leaving them on track to close at an all-time high. Read Investopedia Full coverage of daily markets here.
Amazon said the deal, which begins immediately and will last seven years, gives OpenAI access to Amazon Web Services’ bank of hundreds of thousands of Nvidia (NVDA) chips, with expansion option.
The company said that “AWS’s leadership in cloud infrastructure combined with OpenAI’s pioneering advances in generative AI will help millions of users continue to get value from ChatGPT,” OpenAI’s popular AI chatbot.
The deal is the latest in a series of multibillion-dollar AI infrastructure deals in recent weeks that have boosted shares of the companies involved, helping lift major U.S. stock indexes to record highs, but also stoking concerns about a growing bubble in the space.
OpenAI CEO Sam Altman said the partnership “strengthens the broad computing ecosystem that will power this next era and bring advanced AI to everyone.”
AWS CEO Matt Garman said OpenAI’s use of AWS “will serve as the backbone for its AI ambitions.”
With Monday’s rise, Amazon shares have added about 17% in 2025, with most of those gains coming last week as the tech giant posted better-than-expected earnings thanks to strong growth in its cloud business.
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