OpenAI agrees to buy 'tens of billions' worth of AMD chips

OpenAI, the artificial intelligence research company, has announced a deal with AMD to use the latter's chips to create six gigawatts worth of AI infrastructure. The agreement is expected to generate "tens of billions of dollars" for AMD. OpenAI will use AMD's Instinct GPUs, with plans to deploy the first gigawatt of the Instinct MI450 GPUs during the second half of 2026. The deal also gives OpenAI the opportunity to purchase 160 million AMD shares at a penny each, which could eventually give the company a 10% stake in AMD. This agreement comes shortly after OpenAI's $100 billion investment deal with NVIDIA, which will be used to create at least 10 gigawatts of AI data centers. OpenAI is also collaborating with Microsoft, which has invested over $13 billion in the company for a 49% stake in its profits. Meanwhile, NVIDIA has invested $5 billion in Intel to integrate its AI and accelerated computing technologies with Intel's CPU technologies and x86 ecosystem.