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Chronicles

The story behind the story

days · browse · Enter similar · o open

Amazon is paying ~16x Microsoft's price per OpenAI percentage point, while getting none of Microsoft's exclusives, showing the cost of being late in AI

My word, the torrent of news keeps coming.  You have hardly had time to digest the news of the $30 billion raise by Anthropic

On my Om Om Malik

Discussion

  • @rakeshsfnyc Rakesh Agrawal on x
    Reminds me of when people mocked Microsoft for investing in FB at a $15B valuation.
  • @hnshah Hiten Shah on x
    Early positioning beats late capital every time. Amazon just invested $50 billion in OpenAI for 6 percent ownership and distribution rights. Microsoft invested $13.8 billion starting in 2019 and owns 23.5 percent with exclusive IP, revenue sharing, and API control locked
  • @quinnypig Corey Quinn on x
    Woof. I don't disagree.
  • @mweinbach Max Weinbach on x
    This is smart from AWS Azure had exclusivity for the OpenAI API, but the Stateful Runtime Environment seems like a product API not model API, so AWS can host/offer it without interfering with the Azure model API exclusivity
  • r/AMD_Stock r on reddit
    OpenAI raises $110B in one of the largest private funding rounds in history
  • @patrickmoorhead Patrick Moorhead on x
    This is not an extension of the November deal.  It is a fundamentally different relationship.  The November 2025 agreement was straightforward.  OpenAI committed $38 billion over seven years to rent NVIDIA GPU capacity on AWS.  EC2 UltraServers, GB200s and GB300s, pure infrastruc…
  • @kantrowitz Alex Kantrowitz on x
    Massive: “Amazon will also invest $50 billion in OpenAI, starting with an initial $15 billion investment and followed by another $35 billion in the coming months when certain conditions are met.”
  • @benbajarin Ben Bajarin on x
    So AWS is the exclusive provider for OpenAI Frontier, and Azure is the exclusive provider for the OpenAI API.
  • @snsf Srinivas Narayanan on x
    Excited to partner with AMZN. We're co-building a new Stateful Runtime product for agentic applications on Bedrock powered by OpenAI models, expanding Frontier via AWS, scaling with 2GW of Trainium compute, and creating custom models for Amazon apps. https://openai.com/...
  • @quinnypig Corey Quinn on x
    Customers are all very excited about @awscloud Trainium once Amazon gives them an 11-figure check.
  • @om.co @om.co on bluesky
    The underlying story of OpenAI's jaw-dropping $110 billion raise is really about Amazon, and how as a “cloud leader” it slipped when it came to AI, and recognizing the opportunity early compared to Azure.  Now it's costing the company billions. om.co/2026/02/27/a...
  • @ajassy Andy Jassy on x
    Excited about our new strategic partnership with @OpenAI.  Developers and companies of all kinds are eager to run services powered by OpenAI models on AWS, and our unique collaboration will provide a stateful runtime environment for them that's powered by OpenAI's frontier intell…
  • @sama Sam Altman on x
    We are excited to partner with Amazon to bring a new generation of products to market, especially around new enterprise products like the stateful runtime environment. We are also very excited to make great use of Tranium.
  • @danprimack Dan Primack on x
    Not too long ago, the AI battlelines were: OpenAI/Microsoft Anthropic/Amazon Not anymore https://openai.com/...
  • @kateross Kate Ross on bluesky
    Shame doesn't help.  —  You could say the same of anyone that still uses, works at a place that uses, and/or works for Microsoft, Google/Gmail, Instagram, Facebook, AWS, etc.