Meta has agreed to buy up to 6 gigawatts of AI computing power from chipmaker AMD, in a multiyear deal valued at more than $100 billion.
Further details were not disclosed, though Meta will reportedly use the chips to develop AI technologies and power the next generation of its AI infrastructure.
The agreement could also allow the social media giant to acquire up to 10% of AMD’s stock through performance-based warrants, dependent on GPU shipments and financial milestones.
AMD’s Helios architecture and MI450 GPUs will be used to deliver platforms optimized for Meta’s workloads, with early shipments set to begin later this year.
The deal represents a major success for AMD as it seeks to challenge Nvidia in the booming AI chip market. It follows a similar arrangement with OpenAI in October, which also included stock warrants linked to delivery and performance targets.
AMD CEO Lisa Su said in a statement that the deal represented “one of the industry’s largest AI deployments, and places AMD at the center of the global AI buildout.”
“This multi-year, multi-generation collaboration … aligns our roadmaps to deliver high-performance, energy-efficient infrastructure optimized for Meta’s workloads,” Su added.
The agreement comes amid a surge in AI chip demand and a spate of high-value chip supply agreements.
Last week, Meta committed to using millions of Nvidia processors as it ramps up its AI expansion plans.
The company plans to deploy “tens of gigawatts” of data center computing power this decade, and “hundreds of gigawatts or more over time,” CEO Mark Zuckerberg wrote in a social media post in January.
Of the AMD deal, Zuckerberg said it is an “important step” as Meta diversifies its compute resources.