OpenAI has officially announced a monumental private funding round, raising $110 billion, marking one of the largest such endeavors in history. This significant investment pushes OpenAI into a new phase of global scaling for frontier AI, emphasizing the critical need for rapid infrastructure expansion to meet growing demand and transform this capacity into reliable products.

The latest funding round, which has a pre-money valuation of $730 billion and remains open for additional investors, includes substantial contributions from key technology giants. Amazon has committed $50 billion, while Nvidia and SoftBank have each invested $30 billion. As in previous funding rounds, it is anticipated that a considerable portion of these investments may come in the form of services rather than direct cash, though the exact distribution has not been disclosed.

Central to this new phase are strategic infrastructure partnerships with both Amazon and Nvidia. With Amazon, OpenAI plans to develop a groundbreaking "stateful runtime environment" where its advanced models will operate on Amazon's Bedrock platform. This collaboration further extends their previously announced AWS partnership, increasing the commitment by an additional $100 billion in compute services, building upon an initial $38 billion. OpenAI has also pledged to consume at least 2GW of AWS Tranium compute and intends to build custom models specifically to support Amazon's consumer products. Amazon CEO Andy Jassy highlighted the enthusiasm of developers and companies to leverage OpenAI models on AWS, stating that this unique collaboration will revolutionize the possibilities for building AI applications and agents. While an earlier report suggested that $35 billion of Amazon's investment might be contingent on achieving AGI or an IPO, OpenAI's announcement confirms this additional amount will arrive "in the coming months when certain conditions are met."

Details regarding the Nvidia partnership were less extensive but equally strategic. OpenAI has committed to utilizing "3GW of dedicated inference capacity and 2GW of training on Vera Rubin systems" as part of the agreement. This partnership follows intense speculation about Nvidia's involvement, especially after reports of a potential $100 billion investment shifted to a smaller figure. Nvidia CEO Jensen Huang had previously reaffirmed his belief in OpenAI in January, dispelling notions of Nvidia backing away and emphasizing the company's commitment to investing "a great deal of money" due to the "incredible work" OpenAI performs.

This $110 billion funding round significantly surpasses OpenAI's previous record-setting round, which closed in March 2025, raising $40 billion against a $300 billion valuation. The current scale of investment underscores the accelerating pace of AI development and the immense capital required to push the boundaries of artificial intelligence into widespread daily use.