OpenAI has secured $110 billion in private funding, the company revealed on Friday, marking the start of one of the most substantial private financing efforts ever recorded. The round includes a $50 billion commitment from Amazon, alongside $30 billion each from Nvidia and SoftBank, based on a pre-money valuation of $730 billion. Importantly, the funding round is still ongoing, with OpenAI anticipating additional investors to participate as it advances.

“We are entering a new phase where frontier AI moves from research into daily use at global scale,” OpenAI stated. “Leadership will be defined by who can scale infrastructure fast enough to meet demand, and turn that capacity into products people rely on.”

Aligned with this investment, OpenAI is establishing major infrastructure collaborations with both Amazon and Nvidia. Similar to earlier funding rounds, a considerable part of the investment is expected to be in the form of services rather than direct cash, though the exact breakdown was not shared.

In partnership with Amazon, OpenAI intends to create a new “stateful runtime environment” where its models will operate on Amazon’s Bedrock platform. The company will also enhance its previously announced AWS partnership, which involved $38 billion in compute services, by an additional $100 billion. As part of this agreement, OpenAI has pledged to utilize at least 2GW of AWS Tranium compute and will develop custom models to bolster Amazon’s consumer products.

“We have lots of developers and companies eager to run services powered by OpenAI models on AWS,” Amazon CEO Andy Jassy remarked, “and our unique collaboration with OpenAI to provide stateful runtime environments will change what’s possible for customers building AI apps and agents.”

Previous reports indicated that $35 billion of Amazon’s investment might depend on OpenAI either attaining artificial general intelligence (AGI) or completing an initial public offering by year’s end. OpenAI’s announcement confirms the funding allocation but notes only that the extra $35 billion will be delivered “in the coming months when certain conditions are met.”

OpenAI provided less information regarding the Nvidia partnership but disclosed that it has committed to using “3GW of dedicated inference capacity and 2GW of training on Vera Rubin systems” as part of the arrangement. This story is still unfolding…