Amazon is set to begin selling OpenAI products after Microsoft lost its exclusivity with the company, according to a new report.
Bloomberg noted that the development comes just a day after the deal expired. "It's something that our customers have asked for, for a really long time," Matt Garman, chief executive officer of the Amazon Web Services cloud unit, told Bloomberg Television.
He went on to say that some of OpenAI's latest models will already be available to preview on AWS as of Tuesday. The most powerful ones will arrive "in the next couple of weeks," he added.
Microsoft largely benefited from its association with OpenAI, allowing it to quickly launch technology across products. However, tensions have risen between the companies as OpanAI struck cloud deals with rival companies, including a $50 billion could deal with Amazon. Microsoft reportedly weighed legal action against the companies over the deal.
The new arrangement details that Microsoft will continue to be OpenAI's primary cloud partner and hold a license to its intellectual property through 2032. It won't pay a revenue share to OpenAI either.
The company said in a blog post that the "rapid pace of innovation requires us to continue to evolve our partnership to benefit our customers and both companies."
The deal with Amazon involved the development of a product to help autonomous AI agents understand context and remember past interactions with users. Called Amazon Bedrock Managed Agents, it was introduced on Tuesday.
However, Bloomberg noted that the announcement also coincides with worries that OpenAI won't manage to expand sales fast enough to meet commitments it has made to infrastructure providers. In fact, The Wall Street Journal reported that the company fell short of several internal targets. OpenAI rejected the premise, claiming it was "firing on all cylinders."
The company is also making headlines because its CEO, Sam Altman, is clashing in court with Elon Musk over the latter's allegations that OpenAI abandoned its founding mission in pursuit of profit.
Musk sued OpenAI in 2024, claiming that the company had violated its agreement with him and abandoned it's mission. The AP reported that Musk originally invested $38 million in OpenAI from December 2015 through May 2017. The lawsuit first sought $100 billion in damages, but the AP noted that after a series of pre-trial rulings Musk is now seeking unspecified damages that would go to fund OpenAI's nonprofit arm.
OpenAI, however, has said that the lawsuit is little more than sour grapes and that Musk recognized the need for the company to become a for-profit relatively early on.
