AMD-OpenAI Deal Sparks Multibillion-Dollar Tech Rally

Advanced Micro Devices (AMD) announced a significant long-term partnership with OpenAI to supply up to 6 gigawatts of its AI GPU chips, starting with a 1-gigawatt deployment in 2026, marking one of the largest AI infrastructure deals outside of Nvidia. This deal caused AMD's shares to surge around 30%, reaching new highs, and potentially granting OpenAI up to a 10% stake in AMD over time. Super Micro Computer, an Original Equipment Manufacturer partner of AMD, also saw its stock rise sharply due to its role integrating AMD's processors into AI-focused servers and data center solutions. The partnership reflects OpenAI's strategy to diversify its chip supply chain beyond Nvidia, while emphasizing that AMD's agreement is incremental to its existing Nvidia collaboration. The announcement fueled broader market enthusiasm for AI-related and high-performance computing sectors, with gains observed in bitcoin mining companies and technology stocks despite ongoing concerns about the U.S. government shutdown and economic uncertainties. Analysts view the AMD-OpenAI deal as a key catalyst reinforcing the secular AI growth trend, supporting robust investor confidence in the tech sector's profitability potential.