Stock Markets February 25, 2026

Amazon's Conditional $50 Billion OpenAI Commitment Tied to IPO or AGI Progress

Deal terms reportedly include $15 billion upfront and $35 billion contingent on an IPO or a milestone artificial general intelligence breakthrough

By Priya Menon AMZN NVDA
Amazon's Conditional $50 Billion OpenAI Commitment Tied to IPO or AGI Progress
AMZN NVDA

Amazon is negotiating a funding package that could total up to $50 billion for OpenAI, with an immediate commitment of $15 billion and a further $35 billion dependent on OpenAI either pursuing a public offering or achieving an artificial general intelligence milestone. The potential investment is part of a broader capital-raising effort by OpenAI that could surpass $100 billion and may include significant contributions from other major technology firms.

Key Points

  • Amazon would make an initial $15 billion investment in OpenAI upfront, with an additional $35 billion contingent on OpenAI either going public or reaching an AGI milestone.
  • OpenAI's capital-raising push could exceed $100 billion as it scales computing infrastructure, attracting interest from major technology investors.
  • NVIDIA and other large tech firms are reported to be preparing to contribute substantial amounts to the same fundraising effort.

Amazon is preparing to make a sizeable investment in OpenAI that could reach $50 billion, with the structure of the commitment tied to specific future events, according to people familiar with the negotiations.

Under the currently discussed framework, Amazon would provide an initial tranche of $15 billion at the outset. The remaining $35 billion would not be automatic - it would be unlocked only if OpenAI either completes an initial public offering or attains a milestone the company and its backers recognize as an artificial general intelligence, or AGI, breakthrough.

The precise language and additional terms remain under negotiation, and the timing and mechanics of any further funding are contingent on those final contract details. The proposed arrangement ties a substantial portion of the potential capital to discrete, high-impact events rather than to a multi-year schedule of unconditional payments.

This potential Amazon commitment is one element of a larger fundraising initiative by OpenAI. The lab is reportedly pursuing a funding program that, as it scales its computing infrastructure to support advanced AI workloads, could top $100 billion in total capital sought. That broader round is drawing interest from multiple major technology players.

NVIDIA and other large investors are also reportedly positioned to provide significant tranches to the same fundraising effort, indicating that OpenAI's capital needs for compute and scaling are attracting resources from several corners of the tech industry.

The deal concept reflects a model in which upfront liquidity is paired with conditional backstops that align investor payouts with company milestones or market events. While the initial $15 billion would give OpenAI immediate funding, the conditional $35 billion would depend on either a public listing or the achievement of an AGI milestone as defined in the negotiated terms.

At the moment, negotiators are still working through the contractual details, so the final commitments, triggers and timing could change before any agreement is finalized. The ultimate size of the round and which investors participate at scale will be determined as those terms are settled.

Risks

  • Uncertainty whether OpenAI will achieve an AGI milestone that satisfies the investment triggers - impacts technology and AI infrastructure sectors.
  • Uncertainty over OpenAI pursuing or completing an IPO, which is a condition for the contingent $35 billion - impacts capital markets and investor participation.
  • Deal terms are still under negotiation, leaving the final structure, timing and participant commitments subject to change - impacts tech investors and cloud/compute suppliers.

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