Asger Risom
Big Tech funding race intensifies around OpenAI
One of the world’s largest tech companies is considering a move that would further reshape the balance of power in artificial intelligence. Talks are still early, but the sums involved underscore just how high the stakes have become.
Behind the scenes, Big Tech is jostling for position around one of the most closely watched AI companies in the world.
Early-stage talks
Amazon is in discussions to invest tens of billions of dollars in OpenAI, with the figure potentially reaching $50 billion, a source told Reuters. The negotiations are still at an early stage, and the final amount has not been decided.
If completed at that level, the deal would make Amazon the largest contributor to OpenAI’s current fundraising round. Amazon declined to comment, and OpenAI did not immediately respond to Reuters’ request for comment.
According to the Wall Street Journal, Amazon CEO Andy Jassy is personally leading the talks with OpenAI CEO Sam Altman.
A crowded field
The potential investment comes as OpenAI seeks to raise up to $100 billion, valuing the company at around $830 billion, Reuters reported earlier this week. The AI startup is also laying the groundwork for a future IPO that could value it at as much as $1 trillion, according to Reuters.
Other major players are circling. SoftBank Group is in talks to invest up to an additional $30 billion in OpenAI, while Nvidia, Amazon, and Microsoft are all discussing investments totaling as much as $60 billion, The Information reported.
Nvidia is considering an investment of up to $30 billion, while Microsoft, a longtime OpenAI backer, is in talks to invest less than $10 billion.
Strategic positioning
Big Tech firms are racing to deepen ties with OpenAI as the company pours vast sums into data centers and computing infrastructure. The bet is that closer partnerships could provide a lasting edge in the intensifying AI competition.
OpenAI recently signed a $10 billion computing deal with Cerebras, a rival to Nvidia, as it looks to secure the processing power needed to train and run its models.
For Amazon, the talks come alongside its existing commitments elsewhere in AI. The company has invested about $8 billion in Anthropic, an OpenAI rival that has seen strong uptake among enterprise customers.
Rising valuations
Anthropic was recently valued at $183 billion and has forecast that it will more than double, and potentially nearly triple, its annualized revenue run rate in 2026 to around $26 billion.
As funding rounds swell and valuations climb, Amazon’s discussions with OpenAI highlight the extraordinary scale of capital now flowing into AI — and the growing urgency among tech giants not to be left behind.
Sources: Reuters, Wall Street Journal, The Information
