OpenAI and chipmaker AMD sign chip supply partnership for AI infrastructure
AMD is announcing a deal to supply its chips to OpenAI for building AI infrastructure
Semiconductor maker AMD will supply its chips to ChatGPT maker OpenAI as part of agreement to team up on building artificial intelligence infrastructure, the companies said Monday.
According to a joint statement announcing the deal, AMD will provide OpenAI with its high performance graphics chips.
It calls for supplying 6 gigawatts of computing power for OpenAI’s “next generation” AI infrastructure, with the first gigawatt coming online in the second half of next year.
AMD also issued OpenAI with a warrant allowing the AI company to buy up to 160 million shares of AMD’s common stock, which amounts to about 10% of company. The warrant will vest based on two milestones tied to the amount of computing power deployed.
The agreement is a boost for AMD, which has been left behind by rival Nvidia, which has ballooned in value because its graphics processing chips are prized by AI companies.