AI Chat: ChatGPT & AI News, Artificial Intelligence, OpenAI, Machine Learning OpenAI to Take 10% of AMD in Multibillion-Dollar Chip Deal
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Oct 6, 2025 A multi-year deal between OpenAI and AMD could reshape the AI chips landscape. AMD will supply six gigawatts of compute power, with a timeline for hardware deployment set for 2026. OpenAI gains the option to acquire a 10% stake in AMD, potentially boosting both companies' stock prices. The collaboration also highlights how close engineering partnerships can set industry benchmarks. Plus, insights into OpenAI's other partnerships and funding strategies showcase a bold move toward future growth.
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Massive AMD Compute Commitment
- OpenAI signed a multi-year deal for 6 gigawatts of AMD compute to power massive AI scaling.
- The deal spans multiple GPU generations and begins with MI450 deployment in H2 2026.
Immediate Stock Surge After Announcement
- AMD stock surged roughly 25–35% following the announcement, while NVIDIA dipped slightly.
- The market reaction illustrated how partnership news can produce immediate, large valuation moves.
Co-Design To Beat Competitors
- AMD claims its new MI450 GPUs will outperform NVIDIA's comparable offerings through hardware and software improvements.
- OpenAI will provide input to shape those improvements, mirroring past co-design efforts.