The two companies confirmed the partnership - which could generate AMD billions of Dollars - on Monday (06.10.25), describing it as one of the largest AI hardware contracts ever signed.

Under the deal, the ChatGPT maker will use AMD’s Instinct MI450 GPUs to power data centres around the world.

The rollout will begin in the second half of 2026, with deployments scaling through 2027.

AMD has issued OpenAI a warrant for up to 160 million shares, tied to milestone targets that include infrastructure delivery and share price performance.

One tranche will vest when the first gigawatt of compute is deployed, while others will unlock as AMD’s stock - currently trading around $200 -reaches future thresholds, including $600 per share.

AMD CEO Lisa Su said the company was “thrilled to partner with OpenAI to deliver AI compute at massive scale,” calling the agreement a transformative moment for both companies.

OpenAI CEO Sam Altman described it as “a major step in building the compute capacity needed to realize AI’s full potential,” praising AMD’s leadership in high-performance chips.

The move follows OpenAI’s $100 billion infrastructure deal with Nvidia in September, but industry analysts say partnering with AMD gives OpenAI greater flexibility and reduces its dependence on a single supplier.

AMD projects that the deal could push its AI revenue well beyond $100 billion in the coming years, up from an expected $6.5 billion this year.

The announcement sent AMD shares soaring 21 per cent, underscoring investor optimism that it can challenge Nvidia’s dominance in the AI chip market.