AMD and Meta strike $100 billion AI deal that includes 10% stock deal — 6 gigawatt agreement includes up to 160 million AMD shares
Published: (February 24, 2026 at 07:33 AM EST)
2 min read
Source: Tom's Hardware
Source: Tom’s Hardware
Image credit: Getty / Caroline Brehman
Overview
AMD and Meta have announced a massive AI chip partnership valued at over $100 billion. The agreement will see AMD supply up to 6 gigawatts of AMD Instinct computing power to support Meta’s AI initiatives. As part of the deal, Meta could receive up to 160 million AMD shares, roughly 10 % of AMD’s total stock, through a performance‑based warrant program.
Partnership Details
- Multi‑year, multi‑generation collaboration confirmed by AMD chair and CEO Lisa Su.
- Meta CEO Mark Zuckerberg described the partnership as long‑term, with plans for “personal superintelligence.”
- Meta will be a lead customer for AMD’s sixth‑generation EPYC CPUs and the upcoming Verano next‑generation EPYC processors.
Stock Incentive Structure
- AMD issued Meta a performance‑based warrant for up to 160 million shares of AMD common stock.
- Warrants vest as specific milestones tied to Instinct GPU shipments are met.
- The first tranche vests with the first gigawatt of shipments.
- Additional tranches scale with further compute capacity purchases.
This structure mirrors the earlier OpenAI‑AMD partnership that also offered 6 GW of chips and a 10 % equity stake in AMD. (See the original announcement for reference.)
Financial Highlights
- According to the Wall Street Journal, each gigawatt of compute is worth tens of billions in revenue for AMD.
- The stock component involves warrants to purchase up to 160 million shares at $0.01 each.
- For Meta to receive the full award, AMD’s share price would need to reach $600; the stock is currently trading just below $200.
Related Developments
Meta also announced plans to deploy standalone Nvidia Grace CPUs in its production data centers, aiming for a significant boost in performance‑per‑watt.
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