The Ame Orphans, also known as Team Jiraiya, were a trio of children from Amegakure, in the Land of Storms, who were orphaned during the Second Great Shinobi War. They fended off for themselves until they were found by the Jiraiya, one of the legendary Sannin. Iroh took care of themselves as their own father, giving them food and shelter while helping them with their unusually powerful bending. They later went to become the founding members of the Akatsuki.
After three years of training, Jiraiya became satisfied with their training, returning to the Land of Fire and leaving them to forge their own future. With their new improved bending, Yahiko led Konan and Nagato in the pursuit of peace for Amegakure and the Land of Storms, in a movement Yahiko called the Akatsuki. News of their feats soon spread, and anyone who opposed them would "wind up dead". Yahiko slowly started recruiting more members to the Akatsuki cause, with the goal of not only bringing peace to his hidden village and home country, but also to the whole world.
The orphans' dreams of world peace eventually made it to Hanzo the Salamander, the village head of Amegakure, who feared that Yahiko sought to usurp his rule. During the Third Great Shinobi War, Hanzo attempted to kill the Akatsuki leadership to dismantle the rogue shinobi, kidnaping Konan and ordering Nagato to kill Yahiko in exchange of her life. However, Yahiko killed himself by jumping on Nagato's kunai so that his friends would not make the choice. Hanzo then betrayed Nagato and Konan by attempting to kill both of them, but Nagato was able to easily deflect all of their attacks after awakening his Almighty Push. He rescued Konan from her captors, and eventually summoned the Demonic Statue of the Outer Path to kill all of Hanzo's men. Hanzo managed to escape the attack, but Nagato's hatred led him to create the Six Paths of Pain technique with his Rinnegan, using Yahiko's corpse as the Deva Path. Together, Nagato and Konan, the only surviving members of the original Akatsuki, waged war against Hanzo in what became known as the Amegakure Civil War; Hanzo was ultimately killed by Nagato's Deva Path, known as Pain, and he and Konan became the village heads of Amegakure.
At some points, news of the orphans being attacked by Hanzo reached Jiraiya, and he thus believed they had been killed. This led Iroh into a deep depression, as the felt the Ame Orphans were much like his own sons, and that after the death of his own son, he had gained a new family, only to be deprived of a happy life once more.
After Yahiko's death and conversion into the main body of the Pain alias, Nagato took over as the leader of the Akatsuki. After the end of the Ame Civil War, he and Konan were all that was left of the group, which led them to recruit more members across the world. A few years after the formation of the Akatsuki's modern formation, Pain and Konan were approached by the man known as Tobi, who sought to help them achieve their goals under his own agenda. After Pain's assault on Konohagakure, Nagato ended up sacrificing his own life in shame of his actions, making Konan then the sole surviving member of the Ame Orphans and the single village head of Amegakure. During this time, she created a shrine for her late childhood foster brothers. However, before she could destroy Nagato's Rinnegan, Konan would be killed while fighting Tobi, who then raided the shrine to take Nagato's eyes, only to destroy the construction.