Amazon shares surge 5% on OpenAI’s $38B AWS cloud deal

Amazon’s stock jumped about 5% on November 3, 2025 after OpenAI unveiled a seven-year, $38 billion partnership to run core AI workloads on Amazon Web Services.

What’s new

OpenAI and AWS announced a multi-year cloud agreement that grants OpenAI immediate access to AWS infrastructure, including hundreds of thousands of Nvidia GPUs—such as GB200 and GB300—to train and serve models like ChatGPT. The companies said all planned capacity is targeted to be deployed before the end of 2026, with room to expand into 2027 and beyond, according to Amazon and Reuters.

Market reaction

Shares of Amazon rose around 5% intraday on the news and touched an all-time high, adding roughly $140 billion in market value, Reuters reported. The jump reflects investor confidence that the deal strengthens AWS’s position in the race to supply compute for advanced AI.

Why it matters

The agreement underscores the acute demand for computing power to build increasingly capable AI systems. OpenAI framed the partnership as a way to rapidly scale reliable compute for frontier models. “Scaling frontier AI requires massive, reliable compute,” OpenAI CEO Sam Altman said in the announcement, per Amazon.

Context

The deal comes days after OpenAI’s restructuring, which increased its operational autonomy and ended Microsoft’s exclusive rights to provide cloud resources—opening the door to multi-cloud partnerships, according to Reuters. AWS already hosts OpenAI’s open-weight models in Amazon Bedrock and also serves as the primary cloud for rival Anthropic, AP noted.

What’s next

OpenAI begins using AWS immediately, with deployment milestones running through late 2026 and potential expansion in 2027. Amazon says its EC2 UltraServers will cluster GPUs for both training and inference at unprecedented scale, per Amazon. Analysts will watch how the spend ramps, how workloads are split across providers, and whether the partnership accelerates product rollouts.

Sources

• OpenAI turns to Amazon in $38 billion cloud services deal after restructuring — Reuters (November 3, 2025)
• OpenAI and Amazon sign $38 billion deal for AI computing power — AP News (November 3, 2025)
• AWS and OpenAI announce multi-year strategic partnership — Amazon (November 3, 2025)
• Amazon stock jumps 5% after OpenAI announces $38 billion AWS partnership — Business Insider (November 3, 2025)