AMD Enters Chip Partnership with OpenAI, Offers Opportunity for 10% Stake Acquisition in ChatGPT Creator

AMD announced a multiyear agreement to supply artificial intelligence chips to OpenAI, potentially generating tens of billions in annual revenue. This partnership allows OpenAI to acquire up to 10% equity in AMD and underscores the demand for advanced computing power in AI development. The deal, which entails deploying hundreds of thousands of AMD’s MI450 AI chips from mid-2026, is viewed as transformative for the industry. AMD expects over $100 billion in new revenue over four years from OpenAI and other clients. The partnership will enhance OpenAI’s infrastructure needs, with CEO Sam Altman emphasizing its significance. The AMD shares surged over 23% following the announcement. AMD has a strong history of collaboration with OpenAI and continues to innovate in AI chip technology. This partnership complements similar agreements with Nvidia and reflects the competitive landscape of AI chip manufacturing as tech giants invest heavily in AI advancements.

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