Photo by I-HWA CHENG/AFP via Getty ImagesAFP via Getty ImagesOn Monday, AMD (NASDAQ:AMD) made news by entering into a significant agreement with OpenAI, the developer of ChatGPT, to provide tens of thousands of its GPU chips for 6 gigawatts of computing power over the forthcoming five years. The initial gigawatt comprising AMD’s next-generation Instinct MI450 chips will be delivered in the latter half of 2026. This contract signifies one of the largest individual chip acquisitions ever made in the AI indust ...

AMD struck its biggest AI deal yet Monday morning, securing a 6 gigawatt GPU contract with OpenAI. The partnership gives OpenAI the option to acquire up to 160 million AMD shares—roughly 10% of the company—while AMD commits to delivering its next-generation Instinct MI450 chips starting in late 2026. The deal comes just two weeks after Nvidia announced its own $100 billion partnership with OpenAI for 10 gigawatts of compute capacity. OpenAI's dual-supplier strategy reflects a calculated hedge: The ChatGPT ...