Amazon Lands Massive $138B AWS Deal as OpenAI Backs Trainium

Amazon’s $138B AWS Deal Signals a Major Win for Trainium

On March 7, 2026, Investing.com reported that Amazon.com Inc (NASDAQ:AMZN) gained momentum after Morgan Stanley raised its price target to $300, following news of a major OpenAI partnership expansion that adds another $100 billion in Amazon Web Services (AWS) commitments.

Investors Welcome a Stronger Growth Outlook for Amazon Web Services

The expanded agreement adds one year to the original eight-year term and brings OpenAI’s total AWS commitment to $138 billion, including an additional $100 billion in new commitments. The deal also gives Amazon’s in-house AI hardware a major boost, with OpenAI expected to use around 2GW of Trainium capacity, spanning current Trainium3 chips and future Trainium4 processors expected in 2027. These numbers suggest AWS is strengthening its position in AI infrastructure while reducing dependence on Nvidia’s dominance.

AWS Is Turning Scale, Silicone, and Strategy Into Long-Term AI Growth

Morgan Stanley’s stronger forecasts for Amazon Web Services, with projected growth of 29% in 2026 and 32% in 2027, reflect rising confidence in the durability of its AI-driven momentum. Beyond infrastructure, Amazon is expanding its role in enterprise AI by integrating OpenAI models into customer-facing products and serving as the exclusive third-party cloud provider for OpenAI Frontier, positioning Amazon Web Services as a bigger force in the next wave of AI adoption