Meta is expanding beyond Nvidia with a new multiyear agreement to purchase 6 gigawatts’ worth of AI chips from AMD, the companies announced Tuesday. The move comes shortly after Meta reinforced its separate chip partnership with Nvidia, highlighting a broader strategy to diversify suppliers as it scales its AI infrastructure.
Under the deal, Meta plans to deploy AMD’s custom Instinct GPUs, with shipments expected to begin in the second half of 2026. The agreement also gives Meta the option to acquire up to 10% of AMD’s stock, tied to specific shipping milestones.
Following the announcement, AMD shares rose by nearly 12% in premarket trading. Meta CEO Mark Zuckerberg said the company is forming a long-term partnership with AMD to power efficient inference computing and advance its AI ambitions.
The agreement marks another major win for AMD, which recently secured a multiyear AI chip deal with OpenAI.
Meanwhile, Nvidia also confirmed a separate multiyear deal to supply Meta with millions of its current and next-generation AI chips, including Blackwell and upcoming Rubin processors, as well as its Grace and Vera CPUs. The announcements underscore intensifying competition among chipmakers as major tech firms ramp up AI investment.