AMD has announced a major multi-year agreement to supply OpenAI with hundreds of thousands of its AI chips, equivalent to six gigawatts of computing power, starting in the second half of 2026. The deal—projected to net AMD tens of billions in annual revenue—also gives OpenAI the option to purchase up to a 10% stake in the chipmaker, vesting through milestones tied to chip deployment and AMD’s stock price.
OpenAI will first deploy a one-gigawatt facility using AMD’s next-generation MI450 series GPUs, with more large-scale rollouts planned. AMD’s leadership expects the deal’s impact and related customer demand to generate over $100 billion in revenue for the company over four years. This partnership marks a transformative moment for AMD, positioning it as a key competitor to Nvidia in the AI infrastructure space.
As part of the arrangement, OpenAI was granted a warrant to buy AMD shares for 1 cent each, with the first tranche vesting after the MI450 chip deliveries begin in late 2026. This follows similar supply agreements between OpenAI and Nvidia, and underscores the surging demand for AI compute resources.
OpenAI’s CEO Sam Altman highlighted the deal as crucial for building necessary infrastructure for the next era of AI. Industry observers view this as a strong statement of confidence in AMD’s technology and a major shift in the competitive landscape of the global AI chip industry.
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