AMD has entered a landmark multi-year agreement to supply artificial intelligence chips to OpenAI, a deal expected to generate tens of billions in annual revenue and reshape the AI hardware landscape.
Key Highlights
AMD will provide up to six gigawatts of AI chips, starting with one gigawatt of the new MI450 series in the second half of 2026.
OpenAI gains an option to buy up to 10% of AMD shares through a warrant priced at 1 cent per share, vested on key milestones.
This partnership challenges the dominance of Nvidia, broadening OpenAI’s chip supplier base and validating AMD’s AI technology roadmap.
The collaboration marks a strategic alignment accelerating both companies’ roles in advancing AI infrastructure at massive scale.
AMD anticipates over $100 billion in revenue from OpenAI and related clients over four years, driven by surging demand for AI computing power.
This transformative deal positions AMD at the forefront of AI computing, while providing OpenAI with critical chip capacity and investment potential.
Sources: Reuters, CNBC, AMD official release, The Wall Street Journal, New York Times