AMD strikes $100B deal with OpenAI to supply AI chips
AMD just landed a big multi-year deal with OpenAI to supply AI chips beginning in the second half of 2026.
The agreement could bring AMD tens of billions each year, and even gives OpenAI a shot at owning up to 10% of AMD if certain conditions are met.
For both companies, it's a major move—AMD gets a huge revenue boost, while OpenAI gets more muscle for its AI projects.
AMD's stock jumps on the news
OpenAI will use six gigawatts worth of AMD GPUs—including a one-gigawatt facility powered by AMD's upcoming MI450 series.
This could mean over $100 billion in new revenue for AMD across four years from OpenAI and other customers, all thanks to rising demand for AI tech.
Investors are already excited—AMD's stock jumped more than 23% in premarket trading after the news.
OpenAI is building a robust computing ecosystem
This partnership is part of OpenAI's plan to seriously scale up its computing power, adding to its collaborations with NVIDIA and Broadcom, and its partnership with Microsoft as its main backer.
It also builds on earlier work between AMD and OpenAI using older GPU models.
With this step, OpenAI is making sure it has the hardware it needs as AI keeps growing fast.