Meta, AMD Seal 6-Gigawatt GPU Deal

Meta and AMD have entered into a multiyear agreement under which Meta will purchase up to 6 gigawatts worth of AI chips as part of its AI expansion.

The first GPUs, AMD’s MI450 line, will be deployed in Meta’s Helios rack-scale data center systems. (Photo: AMD) 

Under the deal announced, AMD will issue Meta 160 million shares of common stock that will vest in tranches if AMD meets certain milestones. The first tranche will vest once AMD ships its initial 1 gigawatt of chips, Daniel Howley reported for Yahoo Finance.

AMD shares jumped as much as 10% in premarket trading.

“We expect this partnership to drive substantial multiyear revenue growth and be accretive to our non-GAAP earnings per share,” AMD CFO Jean Hu said.

“The performance-based structure also tightly aligns AMD and Meta around execution and long-term value creation.”

The first GPUs, AMD’s MI450 line, will be deployed in Meta’s Helios rack-scale data center systems, alongside EPYC CPUs, in the second half of the year. Meta will also purchase additional CPUs, including AMD’s Venice chip and its next-generation Verano processor.

CPUs are becoming increasingly important in AI data centers as companies shift toward running agentic AI services and focus on inference workloads.

Last week, Meta announced a separate multiyear agreement with Nvidia, under which the chipmaker will supply millions of its Blackwell and Rubin GPUs.