(RTTNews) - Amazon.com, Inc. (AMZN) and OpenAI, Friday announced a collaboration to accelerate AI innovation for enterprises, startups, and end consumers around the world with the development of a Stateful Runtime Environment powered by OpenAI's models.
As per the agreement, Amazon will 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.
AWS will serve as the exclusive third-party cloud distribution provider for OpenAI Frontier. Together, both the companies will develop customized models available to Amazon developers to power Amazon's customer-facing applications. Amazon teams will be able to tailor OpenAI models for use across AI products and agents that serve customers directly.
In the pre-market hours, AMZN is trading at $207.48, down 0.25 percent on the Nasdaq.
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