OpenAI and AMD Deal Signals Nvidia May Soon Have Real Hardware Competition

AMD and OpenAI have entered a multi-year partnership in which the AI giant will take a 10% stake in AMD at just $0.01 per share and acquire vast quantities of AMD's next-generation MI450 GPUs. Although AMD and OpenAI haven't released any figures, the deal is thought to be worth around $60 billion and will see AMD ultimately deploy up to 6 gigawatts worth of AMD GPUs over several years and hardware generations.

This isn't just a big moment for AMD. It's also a big moment for the industry, as it suggests Nvidia's time as the only high-end hardware firm could be coming to a close.

For years now, Nvidia's graphics cards have been the most powerful go-to for just about everything: gaming, professional workloads, AI, and more. That's been at the heart of its valuation boom into the world's most valuable ...