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Amazon Stock Dips as Reports Link Company to Potential $50B OpenAI Investment

Amazon Stock Dips as Reports Link Company to Potential $50B OpenAI Investment. Source: Auledas, CC BY 4.0, via Wikimedia Commons

Amazon.com Inc. (NASDAQ: AMZN) shares trimmed losses to around 0.8% on Thursday afternoon, even as the broader technology sector faced notable selling pressure. The stock movement followed a Wall Street Journal report claiming the e-commerce and cloud computing giant is in discussions to invest up to $50 billion in artificial intelligence leader OpenAI, the company behind ChatGPT.

According to sources cited in the report, Amazon’s potential investment would be the single largest contribution in OpenAI’s current fundraising round, which is reportedly targeting as much as $100 billion in new capital. If completed as outlined, the funding round could place OpenAI’s valuation at approximately $830 billion, making it one of the most valuable private technology companies in the world and underscoring the explosive growth of the generative AI market.

The talks are said to be personally led by Amazon CEO Andy Jassy and OpenAI CEO Sam Altman, signaling the strategic importance of the discussions at the highest executive level. While negotiations are ongoing, sources emphasized that the final structure, size, and terms of any deal have not yet been finalized and remain subject to change.

OpenAI is reportedly seeking substantial capital to accelerate development of advanced AI models, expand infrastructure, and maintain its competitive edge in a rapidly evolving artificial intelligence landscape. In addition to Amazon, Japanese investment giant SoftBank is also said to be in talks to invest up to $30 billion, potentially increasing its exposure to the fast-growing AI sector.

Amazon’s reported interest in OpenAI aligns with its broader artificial intelligence strategy. The company has already made a significant investment in Anthropic, another prominent AI startup, and continues to integrate generative AI tools across its AWS cloud platform, retail operations, and enterprise services. A potential OpenAI investment would represent a major escalation of Amazon’s commitment to AI innovation and could reshape competitive dynamics among Big Tech firms racing to dominate the next phase of artificial intelligence development.

As investor attention remains fixed on AI-related growth opportunities, Amazon’s involvement in high-profile AI funding talks may continue to influence market sentiment around the stock and the broader technology sector.

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