{"id":4358,"date":"2025-11-20T23:00:00","date_gmt":"2025-11-20T14:00:00","guid":{"rendered":"https:\/\/allaboutenglishmastery.com\/?p=4358"},"modified":"2025-11-23T18:17:24","modified_gmt":"2025-11-23T09:17:24","slug":"amazon-38-billion-openai-deal-ai-laggard","status":"publish","type":"post","link":"https:\/\/allaboutenglishmastery.com\/ko\/amazon-38-billion-openai-deal-ai-laggard\/","title":{"rendered":"Amazon\u2019s $38\u202fBillion OpenAI Deal Marks a New Chapter for AWS"},"content":{"rendered":"<h1 class=\"wp-block-heading\">Amazon\u2019s $38\u202fBillion OpenAI Deal Marks a New Chapter for AWS<\/h1>\n\n\n\n<h4 class=\"wp-block-heading\">Intermediate | November\u202f20,\u202f2025<\/h4>\n\n\n\n<p>\u2728 <em>\ud63c\uc790\uc11c \uae30\uc0ac\ub97c \uc18c\ub9ac \ub0b4\uc5b4 \uc77d\uac70\ub098 \ud29c\ud130\ub97c \ub530\ub77c \uac01 \ub2e8\ub77d\uc744 \ubc18\ubcf5\ud574\uc11c \uc77d\uc73c\uc138\uc694. \ub808\ubca8...<\/em><\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h3 class=\"wp-block-heading\">Amazon Steps Up: The Amazon $38\u202fBillion OpenAI Deal<\/h3>\n\n\n\n<p>On <strong>November\u202f3<\/strong>, OpenAI announced it had signed a seven\u2011year, <strong>$38\u202fbillion deal<\/strong> with Amazon Web Services (AWS) \u2014 widely reported as the <strong>Amazon $38\u202fbillion OpenAI deal<\/strong> \u2014 to supply cloud and AI infrastructure.\u202f3**, OpenAI announced it had signed a seven\u2011year, *<em>$38\u202fbillion deal<\/em>* with Amazon Web Services (AWS) to supply cloud and AI infrastructure. The deal marks a strategic turning point for Amazon, which, until recently, was viewed by many as falling behind in the AI and cloud arms race. (<a href=\"https:\/\/www.reuters.com\/business\/retail-consumer\/openai-amazon-strike-38-billion-agreement-chatgpt-maker-use-aws-2025-11-03\/?utm_source=chatgpt.com\">Reuters<\/a>)<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h3 class=\"wp-block-heading\">Why It Matters: From Cloud Laggard to AI Contender<\/h3>\n\n\n\n<p>Amazon\u2019s cloud\u2011business share had slipped from roughly 34% to 29% as rivals such as Microsoft and Google LLC surged ahead following the rise of generative\u2011AI platforms like ChatGPT. (<a href=\"https:\/\/www.reuters.com\/business\/retail-consumer\/amazons-38-bln-openai-deal-shows-it-is-no-longer-an-ai-laggard-2025-11-04\/?utm_source=chatgpt.com\">Reuters<\/a>) The OpenAI deal serves as a public vote of confidence in AWS\u2019s ability to handle large\u2011scale AI workloads and regain momentum. Analysts estimate it could boost AWS\u2019s pending backlog by around 20% in the coming quarter. (<a href=\"https:\/\/www.reuters.com\/business\/retail-consumer\/amazons-38-bln-openai-deal-shows-it-is-no-longer-an-ai-laggard-2025-11-04\/?utm_source=chatgpt.com\">Reuters<\/a>)<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h3 class=\"wp-block-heading\">What\u2019s Changing Under the Hood<\/h3>\n\n\n\n<p>Under the partnership, OpenAI will gain access to \u201chundreds of thousands\u201d of Nvidia GPUs and Amazon\u2019s infrastructure, beginning immediately and scaling through 2026 and beyond. (<a href=\"https:\/\/www.reuters.com\/business\/retail-consumer\/openai-amazon-strike-38-billion-agreement-chatgpt-maker-use-aws-2025-11-03\/?utm_source=chatgpt.com\">Reuters<\/a>) For Amazon, this involves massive data\u2011centre investments, including the company\u2019s own Trainium chip system and a recently announced <strong>$11\u202fbillion<\/strong> campus in Indiana dedicated to AI computing. Amazon is also streamlining its corporate structure \u2014 cutting about <strong>14,000 jobs<\/strong> \u2014 to redirect resources toward AI. (<a href=\"https:\/\/www.reuters.com\/business\/retail-consumer\/amazons-38-bln-openai-deal-shows-it-is-no-longer-an-ai-laggard-2025-11-04\/?utm_source=chatgpt.com\">Reuters<\/a>)<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h3 class=\"wp-block-heading\">Bigger Picture: Opportunity and Risk<\/h3>\n\n\n\n<p>While the <strong>Amazon $38\u202fbillion OpenAI deal<\/strong> signals Amazon\u2019s renewed push, it also highlights the high stakes in the AI infrastructure market., it also highlights the high stakes in the AI infrastructure market. OpenAI alone is targeting long\u2011term compute commitments that could exceed <strong>$1\u202ftrillion<\/strong>, prompting questions about sustainability. (<a href=\"https:\/\/www.reuters.com\/business\/retail-consumer\/openai-amazon-strike-38-billion-agreement-chatgpt-maker-use-aws-2025-11-03\/?utm_source=chatgpt.com\">Reuters<\/a>) For Amazon, success depends on converting massive infrastructure investment into long\u2011term revenue growth. If AWS fails to deliver reliable compute at scale, it risks reinforcing perceptions of being a \u201clatecomer\u201d rather than regaining leadership.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h3 class=\"wp-block-heading\">What This Means for English Learners and Professionals<\/h3>\n\n\n\n<p>Discussing topics like this provides exposure to business English terms such as <em>\u201cbacklog,\u201d \u201ccompute capacity,\u201d \u201cvote of confidence,\u201d \u201cstreamline,\u201d<\/em> and <em>\u201cinfrastructure commitment.\u201d<\/em> Using real\u2011world tech news helps you practise higher\u2011level English while staying relevant in professional conversations. When you explain this deal to a colleague, you might say: <em>\u201cAmazon\u2019s backlog could grow by 20% thanks to the OpenAI deal,\u201d<\/em> or <em>\u201cThe partnership is a major vote of confidence in AWS\u2019s AI capability.\u201d<\/em><\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h2 class=\"wp-block-heading\">Vocabulary<\/h2>\n\n\n\n<ol class=\"wp-block-list\">\n<li><strong>Deal<\/strong> (noun) \u2013 an agreement between two parties. \n<ul class=\"wp-block-list\">\n<li><em>Example:<\/em> \u201cAmazon signed a deal with OpenAI worth $38\u202fbillion.\u201d<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>Vote of confidence<\/strong> (noun) \u2013 an action showing trust in someone or something. \n<ul class=\"wp-block-list\">\n<li><em>Example:<\/em> \u201cThe partnership was seen as a vote of confidence in AWS.\u201d<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>Backlog<\/strong> (noun) \u2013 a workload or demand that has yet to be processed. \n<ul class=\"wp-block-list\">\n<li><em>Example:<\/em> \u201cAnalysts estimate AWS\u2019s backlog could grow by 20%.\u201d<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>Compute capacity<\/strong> (noun) \u2013 the amount of computing power available. \n<ul class=\"wp-block-list\">\n<li><em>Example:<\/em> \u201cOpenAI will access hundreds of thousands of GPUs to expand its compute capacity.\u201d<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>Streamline<\/strong> (verb) \u2013 to simplify or modernise a process. \n<ul class=\"wp-block-list\">\n<li><em>Example:<\/em> \u201cAmazon is streamlining its business structure to focus on AI.\u201d<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>Infrastructure<\/strong> (noun) \u2013 the underlying physical and organisational structures needed for operation. \n<ul class=\"wp-block-list\">\n<li><em>Example:<\/em> \u201cAI infrastructure demands millions of dollars in investment.\u201d<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>Commitment<\/strong> (noun) \u2013 a pledge or undertaking to do something. \n<ul class=\"wp-block-list\">\n<li><em>Example:<\/em> \u201cOpenAI\u2019s infrastructure commitments top $1\u202ftrillion.\u201d<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>Latecomer<\/strong> (noun) \u2013 someone or something that begins later than others. \n<ul class=\"wp-block-list\">\n<li><em>Example:<\/em> \u201cAmazon was considered a latecomer in the AI race.\u201d<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>Regain<\/strong> (verb) \u2013 to recover or obtain something again. \n<ul class=\"wp-block-list\">\n<li><em>Example:<\/em> \u201cAWS is trying to regain its lead in cloud computing.\u201d<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>Sustainability<\/strong> (noun) \u2013 the ability to continue without failure. \n<ul class=\"wp-block-list\">\n<li><em>Example:<\/em> \u201cAnalysts question the sustainability of large AI investments.\u201d<\/li>\n<\/ul>\n<\/li>\n<\/ol>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h3 class=\"wp-block-heading\">Discussion Questions (About the Article)<\/h3>\n\n\n\n<ol class=\"wp-block-list\">\n<li>What makes the $38\u202fbillion OpenAI\u2011Amazon deal significant for AWS?<\/li>\n\n\n\n<li>How does this deal reflect Amazon\u2019s changing position in the AI industry?<\/li>\n\n\n\n<li>What risks does Amazon face as it shifts resources into AI infrastructure?<\/li>\n\n\n\n<li>Which English phrases from this article could you use to describe business deals?<\/li>\n\n\n\n<li>Do you think Amazon can turn this deal into long\u2011term growth? Why or why not?<\/li>\n<\/ol>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h3 class=\"wp-block-heading\">Discussion Questions (About the Topic)<\/h3>\n\n\n\n<ol class=\"wp-block-list\">\n<li>What makes a company competitive in the AI arms race?<\/li>\n\n\n\n<li>How important is compute capacity for today\u2019s major tech players?<\/li>\n\n\n\n<li>How would you explain \u201cbacklog\u201d or \u201cstreamline\u201d to a colleague in another country?<\/li>\n\n\n\n<li>What long\u2011term risks come with massive infrastructure commitments?<\/li>\n\n\n\n<li>Why should English learners in tech understand deals like this?<\/li>\n<\/ol>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h3 class=\"wp-block-heading\">Related Idiom<\/h3>\n\n\n\n<p><strong>\u201cBite the bullet\u201d<\/strong> \u2013 to choose to do something difficult that has been delayed.<\/p>\n\n\n\n<p><em>Example:<\/em> \u201cAmazon had to bite the bullet and overhaul its cloud strategy to secure this deal.\u201d<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<p>\ud83d\udce2 Want more tips like this? \ud83d\udc49 <strong>Sign up for the All About English Mastery Newsletter!<\/strong><br><a href=\"https:\/\/allaboutenglishmastery.com\/ko\/newsletter\/\">Click here<\/a> to join us!<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<p>Want to finally Master English but don&#8217;t have the time?<br><a href=\"https:\/\/allaboutenglishmastery.com\/ko\/english-mastery-course\/\"><strong>Mastering English for Busy Professionals<\/strong><\/a> is the course for you! Check it out now!<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<p>Follow our YouTube Channel <a href=\"https:\/\/www.youtube.com\/@All_About_English\"><strong>@All_About_English<\/strong><\/a> for more great insights and tips<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h3 class=\"wp-block-heading\">Inspired By:<\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Reuters: <a href=\"https:\/\/www.reuters.com\/business\/retail-consumer\/amazons-38-bln-openai-deal-shows-it-is-no-longer-an-ai-laggard-2025-11-04\/\">https:\/\/www.reuters.com\/business\/retail-consumer\/amazons-38-bln-openai-deal-shows-it-is-no-longer-an-ai-laggard-2025-11-04\/<\/a><\/li>\n<\/ul>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<p><\/p>","protected":false},"excerpt":{"rendered":"<p>Amazon\u2019s $38\u202fBillion OpenAI Deal Marks a New Chapter for AWS Intermediate | November\u202f20,\u202f2025 \u2728 Read the article aloud on your [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":4359,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_uag_custom_page_level_css":"","_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"_uf_show_specific_survey":0,"_uf_disable_surveys":false,"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"disabled","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center 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center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[1464,24,19,25],"tags":[15,3655,623,1316,12,1010,196,30,175,1140,36],"class_list":["post-4358","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-ai-news","category-business-news","category-news","category-tech-news","tag-10-minute-english","tag-ai-deal","tag-amazon","tag-aws","tag-business-english","tag-cloud-computing","tag-english-learning","tag-english-news-for-learning-english","tag-intermediate-english","tag-openai","tag-tech-news"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Amazon $38\u202fbillion Open AI deal shows AWS no longer an AI laggard - All About English Mastery<\/title>\n<meta name=\"description\" content=\"Amazon 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