The deal will see Meta, which also owns Instagram and WhatsApp, snap up a 10% shareholding in the US semiconductor company.
Facebook owner Meta has struck a deal worth up to 100 billion dollars (£74 billion) to buy AI chips from AMD (Advanced Micro Devices) and take a stake in the firm.
The deal will see Meta, which also owns Instagram and WhatsApp, snap up a 10% shareholding in the US semiconductor company.
It is the latest in a series of major chip supply deals highlighting the significant sums being poured into the sector as technology firms compete.
It mirrors a deal struck between AMD and OpenAI last year, which saw the ChatGPT firm take a stake in AMD.
Meta said it will buy AMD’s latest chips, the MI450, to help power data centres.
The 6-gigawatt agreement will see shipments supporting the first gigawatt deployment set to start during the second half of 2026.
Lisa Su, chairwoman and chief executive of AMD, said: “We are proud to expand our strategic partnership with Meta as they push the boundaries of AI at unprecedented scale.”
Mark Zuckerberg, founder and chief executive of Meta, said: “We’re excited to form a long-term partnership with AMD to deploy efficient inference compute and deliver personal superintelligence.
“This is an important step for Meta as we diversify our compute.
“I expect AMD to be an important partner for many years to come.”
Matt Britzman, senior equity analyst at Hargreaves Lansdown, said: “For AMD, this is a vote of confidence in its next-generation AI hardware – but having to give up a 10% stake suggests it could be struggling to generate organic demand.
“That said, delivering solutions at this scale is a new test.
“Designing competitive chips is one thing; manufacturing, deploying and supporting them in volumes this large is another.”
