Wall Street Analysts Discuss AMD's Role in Funding OpenAI's Chip Investments
Originally Published 3 months ago — by TechCrunch
AMD is using stock warrants as a novel way to finance OpenAI's multi-billion dollar GPU purchases, with the potential for OpenAI to hold a stake worth around $100 billion if certain stock price milestones are met. This arrangement serves as a validation of AMD's AI GPU capabilities and could boost its market share, although OpenAI may sell the stock along the way to fund the purchases. The deal highlights innovative financing in the AI hardware industry and AMD's strategic push into AI data centers.