OpenAI wants to buy 10% of AMD. That should make PC gamers nervous
OpenAI, the AI company, has secured a partnership with AMD, the chip manufacturer, where OpenAI will invest in AMD's upcoming Instinct MI450 GPUs. The deal is worth up to 10% of AMD's stock, with AMD required to deliver 6 gigawatts of Instinct MI450 GPUs by the second half of 2026. The details of the deal remain vague, with the actual number of GPUs to be delivered ranging from 3 to 6 million, depending on the power consumption of the chips. OpenAI has substantial cash reserves, with reports of a $40 billion funding round this year and annual revenue between $10 billion and $13 billion. This partnership raises concerns among PC gamers, as it could shift AMD's focus from the PC market to the more lucrative cloud computing and enterprise sectors. With Nvidia already dominating the PC GPU market, this deal could further reduce competition and lead to higher prices for PC gamers in the future.
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