Did you hear that? It’s the sound of AMD shortsellers’ tears powering Sam Altman’s next data center.

AMD stock is up 34% after OpenAI announced a multi-year deal that could see it take up to a 10% stake in the chipmaker… and no, this isn’t one of those “strategic partnerships” that mean nothing. This is a full-blown, multi-gigawatt, billion-dollar hardware romance (some would call it marriage).

To kick things off, OpenAI is committing to deploy up to 6 gigawatts of AMD’s Instinct GPUs… starting with a 1-gigawatt rollout in 2026. As part of the handshake, AMD issued OpenAI a warrant for 160 million shares at one penny each, with the right to vest based on deployment milestones and AMD’s share price. The final milestone will be AMD stock hitting $600 per share. So essentially, Sam Altman just set Lisa Su a boss-level challenge: “Double your market cap, and I’ll take 10%.”

For years, AMD has been the Luigi to Nvidia’s Mario in the AI chip world… capable, but never the one getting the princess (at the attention). This changes everything. The deal cements AMD as a core supplier to OpenAI… joining an elite (and very small) circle of companies feeding the world’s AI addiction. 

(Source: Reuters)

Nvidia is supplying the capital and taking a stake in OpenAI, Oracle is building the massive data centers, Broadcom is cooking up custom chips, and OpenAI is funding all of it like the world’s most ambitious startup/utility company. Of course, Altman’s goal has been a $1 trillion infrastructure buildout, spanning projects like the Stargate AI supercomputer in Texas… and now AMD’s officially in bed with Sammie boy.

AMD execs say the OpenAI deal could bring in tens of billions a year and over $100 billion total once the copycats pile in. This is not your average “AI hype bump.” It’s a bat signal to Wall Street that AMD is officially a big dog in the AI fight. Even AMD’s usually reserved CEO Lisa Su couldn’t hide her excitement, calling it “a true win-win enabling the world’s most ambitious AI buildout and advancing the entire ecosystem.” In other words: “We finally graduated from being the Temu version of Nvidia.”

The deal turned the AI supply chain into a Silicon Valley dating show reminiscent of Love Island… everyone’s swapping partners, making billion-dollar promises, and praying they don’t get ghosted mid-buildout. For now, AMD’s the one holding Sam Altman’s rose. Nvidia slipped 1% on the news (which is about as emotional as Jensen Huang gets), but the market made it clear: there’s room for more than one GPU god in this love triangle. 

AMD’s new MI450 chips finally have a flagship customer, Altman gets a backup plan if Nvidia gets moody, and Dan Ives just found a new stock to drool over.

Now all Lisa Su has to do is keep those gigawatts flowing, hit that $600 share price milestone, and pray Nvidia doesn’t crash the afterparty with a better offer. Because in 2025, there’s nothing more bragworthy than getting Sam Altman to buy your stock.

At the time of publishing this article, Stocks.News doesn’t hold positions in companies mentioned in the article.