What Happened
Meta has announced a significant multiyear agreement with Advanced Micro Devices (AMD) to deploy up to 6 gigawatts of AMD’s graphics processing units (GPUs) for its AI data centers. This deal, reported on January 5, 2026, during the CES event in Las Vegas, also includes the use of AI-optimized central processing units (CPUs). Early shipments of the MI450 GPUs, which are part of AMD’s Helios rack-scale servers, are expected to commence later this year.
Why It Matters
This partnership marks a crucial step for AMD as it seeks to establish a foothold in the competitive AI chip market, where it currently trails behind Nvidia. The deal not only signifies Meta’s commitment to enhancing its AI capabilities but also positions AMD as a key player in the ongoing global AI infrastructure buildout. AMD CEO Lisa Su emphasized that the collaboration will deliver high-performance, energy-efficient infrastructure tailored for Meta’s workloads, thereby accelerating one of the largest AI deployments in the industry.
What’s Next
As part of the agreement, Meta is set to invest up to $60 billion in AI chips from AMD over the next five years, with an option to acquire up to 10% of the chipmaker. This strategic move is expected to bolster AMD’s market position and enhance its product offerings, particularly in AI inference, which is anticipated to see increased demand as AI services expand. The first shipments of the MI450 accelerators are slated for the latter half of this year, marking a significant milestone in the partnership.
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