Meta agrees $60bn deal with chipmaker AMD despite AI bubble fears

The Guardian - World NewsEN 2 min read 100% complete by ReutersFebruary 24, 2026 at 02:18 PM

AI Summary

medium article 2 min

Meta has agreed to purchase $60 billion worth of AI chips from AMD over the next five years, including 10% ownership of the chip company. This deal, similar to AMD's agreement with OpenAI, highlights the strong demand for processors in the AI industry. AMD will supply 6GW of chips, starting with 1GW of its MI450 hardware in the latter half of this year, along with customized CPUs designed for Meta's specific needs with low energy consumption. Meta contributed to the MI450 design, optimized for AI inference, and plans to continue purchasing chips from other vendors like Nvidia and exploring Google's TPUs, while also developing its own in-house processors. The company's infrastructure head emphasized the need for multiple chip vendors to support Meta's large-scale data center build-out.

Key Entities & Roles

Key Player Opposition Context

United States 60% OpenAI ×280% Nvidia 80% Meta ×4100% Lisa Su 100% Advanced Micro Devices (AMD) ×3100% Mark Zuckerberg ×2100%

Keywords

meta 100% amd 90% artificial intelligence 90% ai chips 80% chip supply agreement 70% inference hardware 60% cpus 60% gpus 60% mi450 50% datacenters 50%