Meta Platforms has agreed to purchase 6 gigawatts’ worth of artificial intelligence computing power from Advanced Micro Devices (AMD) in a landmark deal valued at more than $100 billion, according to reports.
The agreement marks a major win for AMD as it intensifies competition with Nvidia in the fast-growing AI chip market. Graphics processing units (GPUs) have become critical infrastructure for powering AI models and large-scale data processing, and the deal significantly strengthens AMD’s position in the sector.
Under the arrangement, AMD will begin supplying chips starting with 1 gigawatt of its upcoming MI450 hardware in the second half of the year, with total deliveries reaching 6GW. In addition to GPUs, Meta will also purchase central processing units (CPUs), including customised variants tailored to its platform requirements.
The deal could also result in Meta acquiring up to a 10% stake in AMD, further deepening the strategic partnership. Meta — the parent company of Facebook, Instagram and WhatsApp — has been aggressively expanding its AI infrastructure despite concerns about the scale of industry-wide spending on artificial intelligence.
The agreement follows AMD’s earlier AI chip supply pact with OpenAI last year, which boosted investor confidence in its AI capabilities. Meta has also secured separate chip supply arrangements with Nvidia as part of its broader AI expansion strategy.
