Amazon.com, Inc. stock is trading higher in premarket hours on December 17, 2025, following news that OpenAI is in discussions with the tech giant about a potential investment exceeding $10 billion. The deal would also include OpenAI applying Amazon’s artificial innotifyigence chips, marking a significant expansion of their relationship beyond the $38 billion cloud services agreement signed just last month.
This development underscores Amazon’s growing influence in the AI infrastructure market and comes as OpenAI seeks to diversify its partnerships following its October restructuring that gave it more freedom to raise capital beyond Microsoft.
OpenAI Talks Could Include $10B Investment and AWS AI Chip Usage
According to sources familiar with the matter, Amazon is in talks to invest approximately $10 billion in OpenAI, though the details remain fluid and subject to alter. The investment could value OpenAI at more than $500 billion, highlighting the explosive growth of AI valuations.
Critically, the agreement would include OpenAI’s utilize of Amazon Web Services’ Trainium chips, which compete directly with Nvidia’s dominant AI processors. Amazon has been designing its own AI chips since around 2015, with the Inferentia line launched in 2018 and the latest generation Trainium chips announced earlier this month.
This potential partnership follows OpenAI’s October restructuring that transformed it into a public benefit corporation, giving the company significantly more freedom to raise capital and partner across the broader AI ecosystem. Microsoft, which has invested over $13 billion in OpenAI since 2019, no longer holds exclusive rights as OpenAI’s compute provider.
Amazon has already established a strong position in the AI investment landscape, having committed at least $8 billion to OpenAI rival Anthropic, though this new deal signals the e-commerce giant’s desire to expand its exposure to the booming generative AI market.
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Amazon Stock Gains as Investors Weigh AI Chip Revenue Upside
Amazon stock closed at $222.56 on December 16, 2025, up a modest 0.01%, but surged to $225.94 in premarket trading as of 5:32 AM EST on December 17, representing a 1.52% gain. The premarket jump reflects investor enthusiasm about Amazon’s deepening ties to OpenAI and potential revenue streams from AI chip sales.
Year-to-date, Amazon stock has gained just 1.44%, significantly underperforming the S&P 500’s 15.62% return, while the one-year performance displays a decline of 4.45% compared to the broader market’s 11.96% gain. This recent weakness creates the OpenAI news particularly welcome for shareholders seeking catalysts.
Amazon maintains a market capitalization of $2.38 trillion with a trailing price-to-earnings ratio of 31.44. The company has been building massive infrastructure commitments, with over $1.4 trillion in deals signed in recent months with chipcreaters including Nvidia, AMD, and Broadcom.
Analysts maintain generally positive outsees, with BMO Capital most recently raising its price tarobtain from $300 to $304 while maintaining an Outperform rating on December 16. The consensus analyst price tarobtain stands at $295.60, suggesting significant upside potential from current levels as Amazon positions itself as a critical infrastructure provider for the AI revolution.
Disclaimer: The author does not hold or have a position in any securities discussed in the article. All stock prices were quoted at the time of writing.
About the author
Tim Fries is the cofounder of The Tokenist. He has a B. Sc. in Mechanical Engineering from the University of Michigan, and an MBA from the University of Chicago Booth School of Business. Tim served as a Senior Associate on the investment team at RW Baird’s US Private Equity division, and is also the co-founder of Protective Technologies Capital, an investment firm specializing in sensing, protection and control solutions.
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