OpenAI to Buy Billions in AMD Chips “Tens of Billionsâ€Â — Could Take 10% Stake in the Company
In another massive move for the AI industry, OpenAI has struck a multi-billion-dollar partnership with AMD, following its recent $100 billion collaboration with NVIDIA. The deal will see OpenAI using AMD’s Instinct GPUs to build out six gigawatts of AI infrastructure, marking one of the largest chip agreements in history.
According to AMD, the company expects to earn “tens of billions of dollars†from this partnership, which makes it a defining moment in the ongoing AI chip race.
A Strategic Alliance for AI Power
OpenAI confirmed that AMD will serve as a “core strategic compute partnerâ€, helping it expand large-scale AI deployments. The rollout will begin with the first gigawatt of Instinct MI450 GPUs in the second half of 2026.
“AMD’s leadership in high-performance chips will enable us to accelerate progress and bring the benefits of advanced AI to everyone faster,†said Sam Altman, co-founder and CEO of OpenAI.
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OpenAI’s Stake in AMD
The deal also includes a major financial twist — OpenAI will have the right to purchase up to 160 million AMD shares for just one cent each, tied to performance milestones. If fully vested, this could give OpenAI up to a 10% ownership stake in AMD, a rare arrangement between a chipmaker and an AI developer.
The Bigger Picture: AI Power Wars Heat Up
This agreement adds to a string of mega-deals reshaping the global AI hardware market. Just weeks ago, NVIDIA pledged $100 billion to help OpenAI build 10 gigawatts of AI data centers, also scheduled to begin deployment in late 2026.
Meanwhile, Microsoft remains OpenAI’s largest backer, with over $13 billion invested for a 49% profit share. On the other side, NVIDIA recently put $5 billion into Intel, aiming to merge NVIDIA’s AI computing power with Intel’s CPU technology and x86 ecosystem — including plans for custom x86 chips designed for AI infrastructure.
Conclusion
With AMD, NVIDIA, Intel, and Microsoft all intertwining in billion-dollar partnerships, OpenAI’s latest deal positions it right at the center of the global AI hardware race. As 2026 approaches, the competition to power next-generation AI systems is only just beginning — and the stakes have never been higher.
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