AMD signs AI chip-supply deal with OpenAI, gives it option to take a 10% stake

Core Insights - AMD has entered into a multi-year agreement to supply artificial intelligence chips to OpenAI, which is expected to generate tens of billions of dollars in annual revenue for AMD [1] Group 1: Company Developments - The deal with OpenAI positions AMD as a key player in the AI chip market, enhancing its revenue potential significantly [1] - This partnership allows OpenAI to leverage AMD's technology for its AI applications, particularly in the development of ChatGPT [1] Group 2: Industry Implications - The agreement reflects the growing demand for AI chips, indicating a robust market opportunity for semiconductor companies [1] - AMD's collaboration with a leading AI firm like OpenAI may set a precedent for future partnerships within the tech industry, potentially influencing competitive dynamics [1]