AMD's next big deal is with a surprising partner

Core Insights - AMD stock has experienced a significant increase of 164% over the past six months, largely driven by a deal with OpenAI for 6 GW of power for AI infrastructure using AMD Instinct GPUs [1] - The collaboration between Oracle and AMD is expanding, with the deployment of 50,000 AMD Instinct MI450 Series GPUs in Oracle Cloud Infrastructure starting in Q3 2026 [2] - AMD has entered into a $1 billion partnership with the U.S. Department of Energy to construct two supercomputers aimed at solving large-scale scientific problems [4][7] Group 1 - The partnership with OpenAI has provided a substantial boost to AMD's stock performance [1] - The initial deployment of the AI supercluster in Oracle Cloud Infrastructure is set to begin in 2026, indicating a long-term growth strategy for AMD [2] - The collaboration with the U.S. Department of Energy will enhance advancements in nuclear power, fusion energy, and drug development [5] Group 2 - The first supercomputer, Lux, is co-developed by AMD, HPE, Oracle Cloud Infrastructure, and ORNL, expected to be operational within six months [6] - The second supercomputer, Discovery, will be based on AMD's MI430 series of AI chips and is anticipated to be ready for use in 2029 [7] - Following the announcement of these developments, AMD's stock rose by 2.67%, closing at $259.67 [7] Group 3 - AMD is also contributing to IBM's quantum computing efforts by addressing error correction challenges in quantum systems [8]