AMD has entered into a multi-year agreement with OpenAI to supply 6 gigawatts of compute capacity, potentially generating tens of billions in revenue for AMD. The deal involves multiple generations of AMD's Instinct GPUs, starting with the Instinct MI450 GPU, with the first gigawatt deployment scheduled for the second half of 2026. AMD claims its MI450 series will outperform Nvidia's offerings, with improvements made in collaboration with OpenAI. As part of the agreement, OpenAI has the option to purchase up to 160 million shares of AMD stock, contingent on achieving specific deployment milestones and stock price targets. This partnership aims to bolster OpenAI's AI infrastructure development and expands the Stargate data centers.