OpenAI turns to Amazon in $38B cloud services deal
Digest more
Amazon Web Services (AMZN) plans to build a trans-Atlantic subsea fiber optic cable system to help address the rising demand for cloud computing and artificial intelligence. The system will span from the coast of Maryland to County Cork,
Partners with AWS to build fiber network connecting data centers for AI applications, expanding existing collaboration as AI demand grows.
“AWS is growing at a pace we haven’t seen since 2022, re-accelerating to 20.2% YoY,” Andy Jassy, the president and CEO of Amazon, said in the company’s earnings announcement. “We continue to see strong demand in AI and core infrastructure, and we’ve been focused on accelerating capacity — adding more than 3.8 gigawatts in the past 12 months.”
On Monday, Amazon announced a partnership that will allow OpenAI to use the company’s cloud computing services to run AI systems for products like the popular ChatGPT. OpenAI is paying $38 billion to access Amazon Web Services (AWS) servers and “hundreds of thousands of state-of-the-art NVIDIA GPUs.”
13don MSN
Here's what experts say the Amazon Web Services outage reveals about the fragility of the cloud
Experts say the incident revealed what can happen when a such a broad spectrum of companies rely on singular cloud provider.
At the time of updating this article, the global number of reports against the Reddit outage has crossed a whopping number of 20,000 in a few minutes.
The outage prevented advertisers from accessing the Microsoft Advertising console, but its ad serving was not affected.
A recent Amazon Web Services report points to continued global cloud growth across sectors, with security, compliance and cost ranking among the key factors shaping adoption.