Meta may trade AI chips for shares in its latest AMD deal

Meta has struck a deal with AMD to buy up to six gigawatts worth of AI chips, both companies announced. The agreement is structured in a way that could see AMD issue Meta up to 160 million shares of its common stock provided GPU shipment milestones are achieved — meaning Meta could own up to 10 percent of AMD if the deal fully completes.

Meta plans to purchase six gigawatts of AMD's Instinct GPUs based on the MI450 architecture and optimized for Meta's workloads, with the first gigawatt deployment set to begin in the second half of 2026. AMD and Meta will also expand on their EPYC CPU partnership, with Meta deploying "millions" of AMD EPYC CPUs and become a launch customer for its sixth-generation EPYC CPUs.

The tranche of AMD common stock will vest with the first one gigawatt of shipments, with additional tranches ...