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OpenAI Looks to Take 10% Stake in AMD Through AI Chip-Supply Deal Worth Billions
- OpenAI has entered into a multi-year agreement with AMD to utilize up to 6 gigawatts of compute power from various generations of AMD Instinct GPUs, with initial deployment set to begin in the latter half of 2026.
- This agreement follows OpenAI's push to expand AI compute capacity through partnerships amid Nvidia's recent $100 billion commitment with OpenAI.
- AMD issued OpenAI warrants for 160 million shares, worth over $26.3 billion at Friday's close, vesting as deployment milestones are met.
- AMD CEO Lisa Su called the deal a 'win-win' enabling the world's most ambitious AI buildout, while OpenAI CEO Sam Altman called it a major step to realize AI's full potential.
- The collaboration is expected to bring AMD revenues amounting to several tens of billions of dollars while accelerating OpenAI's expansion of its infrastructure, signaling a strategic move against Nvidia's leadership in the AI sector.
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Stargate isn’t big enough yet to make OpenAI-AMD-Nvidia work
Since revealing Stargate in January, Altman and friends have brought about 200 MW online - they'll need at least 16 GW to claim their red and green prize Comment AMD has issued OpenAI a warrant for roughly 10 percent of its stock. In exchange, the AI model giant will work with its partners (such as Oracle) to deploy up to 6 gigawatts' worth of AMD GPUs.…
The startup makes another huge promise to secure access to AI-capable processors. The announcement closely links Open AI and AMD – and leaves important questions unanswered.
·Zürich, Switzerland
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Total News Sources238
Leaning Left40Leaning Right26Center42Last UpdatedBias Distribution39% Center
Bias Distribution
- 39% of the sources are Center
39% Center
L 37%
C 39%
R 24%
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