OpenAI and AMD Forge Major AI Infrastructure Partnership

OpenAI and AMD Forge Major AI Infrastructure Partnership

OpenAI and chipmaker AMD have announced a multibillion-dollar deal in which AMD will supply high-performance chips to support OpenAI’s rapidly expanding AI infrastructure.

  • OpenAI can acquire up to a 10 % stake in AMD through warrants contingent on meeting certain deployment and share-price targets. 

  • The chips to be supplied include AMD’s Instinct MI450 series, targeted for deployment in large quantities—eventually reaching up to 6 gigawatts of computing power.

  • The first phase of the deployment is scheduled for the second half of 2026. 

This event is significant because:

  • It reflects OpenAI’s drive to diversify its hardware supply chain beyond its current reliance on Nvidia. 

  • It injects competition into the AI hardware space, giving AMD a stronger foothold against Nvidia’s dominance. 

  • The scale of compute involved underscores just how resource-intensive next-generation AI systems are becoming—power, efficiency, and supply chain decisions are critical in shaping who leads the AI frontier.

 

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