OpenAI’s (OPENAI) deals over the past month with the who’s who of tech giants have swollen to hundreds of billions of dollars.
In many of these deals, Nvidia’s (NVDA) sleek and powerful hardware arises as a crucial benefactor, but other chipmakers and cloud service providers are also claiming slices of the OpenAI pie.
The most recent deal, announced this morning, was with Amazon Web Services (AMZN). As part of the seven-year, $38B agreement, OpenAI will get access to AWS for hundreds of thousands of Nvidia’s GPUs, with the ability to expand to “tens of millions” of CPUs to rapidly scale its agentic workloads.
This followed OpenAI’s updated agreement with Microsoft (MSFT), one of its primary backers, to buy an incremental $250B of Azure services. It includes the caveat that Microsoft will no longer have a right of first refusal to be OpenAI’s compute provider.
Also last month, OpenAI revealed it would collaborate with Broadcom (AVGO) to develop and deploy 10 gigawatts of custom AI accelerators. British chipmaker Arm (ARM) is reportedly part of the deal, as it helps OpenAI build a central processing unit chip that is designed to work with OpenAI’s AI server chip, which it is co-designing with Broadcom.
The deal with Broadcom was announced soon after OpenAI secured a contract with Advanced Micro Devices (AMD) to deploy 6 GW of AMD GPUs over multiple years. The first 1 GW deployment of AMD Instinct MI450 GPUs is set to start in the second half of 2026.
OpenAI has also racked up partnerships outside its insatiable appetite for compute power. This includes a deal made last week with PayPal (PYPL) to have its digital wallet embedded into ChatGPT. This followed similar e-commerce agreements the Sam Altman-led startup made with Shopify (SHOP), Etsy (ETSY) and Walmart (WMT). OpenAI is working with Salesforce (CRM) to bring ChatGPT directly into Slack, enabling teams to quickly surface insights, draft content, and summarize complex conversations. Thermo Fisher Scientific (TMO), a life sciences company, also announced last month it will integrate OpenAI APIs into its key business functions, such as product development, service delivery and customer engagement.
The recent flurry of deals follows OpenAI’s key involvement in the $500B Stargate Project, which was announced at the start of the year. It includes partners such as Oracle (ORCL), SoftBank (OTCPK:SFTBY)(OTCPK:SFTBF), Arm, Microsoft and Nvidia. OpenAI is also involved in Stargate Projects around the globe, such as in the United Arab Emirates, Argentina and Norway.
The array of deals appears to be building towards OpenAI’s eventual initial public offering. Reports have said the IPO, which might happen in late 2026 or early 2027, could value the ChatGPT creator at $1T. It would rank as the second-highest starting market capitalization on record for an IPO. Saudi Aramco (ARMCO) started at $1.7T in December 2019, after its IPO raised $25.6B. It would dwarf Meta Platforms’ (META) starting market cap of $81.3B in 2012.
OpenAI was most recently valued at $500B.