It’s a figure that, once again, leaves observers dizzy. OpenAI has closed a financing round of $110 billion, propelling its valuation to $730 billion, and even to $840 billion post-money. This makes the creator of ChatGPT one of the most highly valued companies in the world, even before any potential IPO.
Amazon leads, followed by SoftBank and Nvidia
The centerpiece of the deal is Amazon pumping $50 billion into the round, by far its largest single check ever written for a single company. SoftBank and Nvidia round out the podium with $30 billion each.
But beyond the raw numbers, it is the strategic nature of the agreement with Amazon that draws attention. OpenAI commits to using AWS’s in-house chips, Trainium, and to jointly developing custom models for Amazon’s engineering teams. And to top it off: OpenAI pledges to spend $100 billion more on AWS over the next eight years, a colossal commitment that adds to a prior $38 billion deal signed in November.
Microsoft is not being sidelined
The ascent of Amazon into OpenAI’s orbit raises a natural question: what of Microsoft, historically the partner on infrastructure? The two companies sought to reassure investors in a joint statement: “Nothing in today’s announcements changes in any way the terms of the relationship between Microsoft and OpenAI.” A message of stability that sounded almost like a clarification.
The race over valuations intensifies
This fundraising comes amid a broader bidding frenzy between OpenAI and its major rival Anthropic, which raised $30 billion this month from investors including Nvidia and Microsoft, valuing it at $380 billion.
The two competitors now share a common pool of investors, a shared, feverish need for GPUs and data centers, and a similar cross-financing logic that has analysts scrutinizing the industry.
These “circular deals,” where cloud and semiconductor suppliers invest in AI startups that in return commit to using their services, are viewed as an effective way to secure scarce infrastructure. But they also magnify risk: if demand for AI does not justify the current valuations, losses could cascade across the ecosystem.
