""We are also looking at ways to more directly sell compute capacity to other companies (and people); we are pretty sure the world is going to need a lot of 'AI cloud', and we are excited to offer this," Altman wrote on X. This suggests OpenAI may be looking to become a cloud provider in its own right. That would put the AI startup into direct competition with cloud giants Microsoft Azure, Amazon Web Services, and Google Cloud Platform."
"I've never seen OpenAI talk so clearly about building a business like this. I asked spokespeople at the startup for comment and any clarifications, but didn't hear back by publication time. OpenAI CFO Sarah Friar may have hinted at something like this back in September. In a warning shot over future competition, she said cloud providers have been "learning on our dime," and she wants to ensure OpenAI isn't giving away its AI know-how to these tech giants."
"While Altman's comments on Thursday were designed to correct misunderstandings, he also addressed a much more important question hanging over the entire market: How will OpenAI pay for more than $1 trillion in AI infrastructure deals it's signed lately? One potential way would be to become a major cloud provider. At scale, these businesses are unprecedented money machines."
OpenAI is exploring ways to sell compute capacity directly to companies and individuals as demand for AI-specific cloud services grows. Such a move would position OpenAI to compete directly with major cloud providers Microsoft Azure, Amazon Web Services, and Google Cloud Platform. The company faces more than $1 trillion in planned AI infrastructure spending and may seek faster returns by renting out excess compute at scale. OpenAI has expressed concern about existing cloud providers benefiting from its work and aims to protect its AI know-how while pursuing new revenue models tied to infrastructure.
Read at Business Insider
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