AMD and OpenAI Forge Strategic Partnership to Enhance AI Infrastructure
AMD and OpenAI have entered a multi-year agreement to deploy AMD GPUs, aiming to bolster OpenAI's AI infrastructure and diversify its hardware suppliers.
Advanced Micro Devices (AMD) and OpenAI have announced a strategic partnership to enhance OpenAI's artificial intelligence infrastructure. Under the multi-year agreement, OpenAI will deploy up to 6 gigawatts of AMD's graphics processing units (GPUs), beginning with 1 gigawatt of AMD Instinct MI450 Series GPUs in the latter half of 2026.
As part of the deal, OpenAI has the option to acquire up to 160 million shares of AMD stock through warrants, contingent upon achieving specific technical and commercial milestones. If fully exercised, this would grant OpenAI approximately a 10% stake in AMD.
AMD's Executive Vice President and CFO, Jean Hu, stated that the partnership is expected to deliver "tens of billions of dollars in revenue for AMD while accelerating OpenAI’s AI infrastructure buildout."
This collaboration underscores OpenAI's efforts to diversify its hardware suppliers beyond Nvidia, with which it previously announced a partnership involving at least 10 gigawatts of AI data centers powered by Nvidia processors.
Following the announcement, AMD's stock surged over 25%, reflecting investor confidence in the company's strategic positioning within the AI sector.
Source
Investor's Business DailyRelated News
Fact-checking
Fact-check the facts of the article using external sources and databases.