In a landmark move set to reshape the artificial intelligence landscape, OpenAI has entered a sweeping strategic partnership with Advanced Micro Devices (AMD), signaling a profound commitment to diversifying its AI hardware infrastructure.
The collaboration, far exceeding a simple supplier agreement, involves a multi-year plan for OpenAI to deploy a massive six gigawatts of computing power using AMD’s cutting-edge Instinct GPUs. This unprecedented scale of planned compute, beginning with a one-gigawatt deployment in 2026, represents one of the largest infrastructure commitments in the history of the AI industry and sent AMD’s stock soaring by approximately 30 percent on the news.
The alliance is cemented by a significant financial instrument designed to align both companies’ strategic interests. AMD has issued OpenAI a warrant for up to 160 million shares of its common stock, creating a direct stake for the AI pioneer.
This warrant is structured to vest progressively as OpenAI hits specific deployment milestones, scaling from the initial one gigawatt up to the full six, and is further tied to AMD achieving certain share-price targets. This innovative structure ensures both parties are mutually invested in the successful, large-scale implementation of AMD’s technology.
At the core of this partnership is a deep, multi-generational collaboration on hardware and software. OpenAI will work directly with AMD as a core strategic compute partner, starting with the upcoming AMD Instinct MI450 series and rack-scale solutions, to optimize future product roadmaps.
This technical co-development is critical for achieving the performance and efficiency required for next-generation AI models. By sharing expertise, the companies aim to push the boundaries of what is possible in high-performance computing, accelerating the entire AI ecosystem beyond the capabilities of any single vendor.
Leadership from both companies hailed the partnership as a pivotal step toward meeting the world’s insatiable demand for AI compute. Dr. Lisa Su, Chair and CEO of AMD, stated that the collaboration brings the best of both organizations together to enable the world’s most ambitious AI buildout.
OpenAI CEO Sam Altman emphasized that access to AMD’s leadership in high-performance chips is essential for accelerating progress and scaling the benefits of advanced AI globally. The financial implications are equally staggering, with AMD projecting the deal will generate tens of billions in revenue and be highly accretive to earnings, marking a new chapter in the commercialization of artificial intelligence.
