Amazon's $38 billion cloud deal with OpenAI marks a major endorsement for the e-commerce giant's cloud business after recent setbacks, including ceding market share to rivals and an outage that disrupted large parts of the internet.

OpenAI has signed a $38bn (£29bn) contract with Amazon to access its cloud computing infrastructure as it continues its run of major partnerships.

The deal underscores the AI industry’s insatiable appetite for computing power as companies race to build systems that can rival or surpass human intelligence.