Meta Signs Long-Term AI Chip Deal With AMD

Meta Platforms said on Feb. 24 it had signed a multi-year agreement with Advanced Micro Devices (AMD) to expand its artificial intelligence computing capacity, as the social media company accelerates investment in next-generation AI infrastructure.

The deal will provide Meta with up to 6 gigawatts of AMD Instinct graphics processing units (GPUs), chips designed to power AI training and inference workloads.

The agreement also includes closer coordination between the two companies on hardware and software development.

“At Meta, we’re working to build the next generation of AI and enable personal superintelligence for all. To do this, we need massive, scalable compute power that can handle the growing demands of our AI workloads,” Meta said in a statement.

“Our partnership with AMD, which builds on our existing collaboration, will help us meet those needs.”

Meta founder and CEO Mark Zuckerberg said he expected AMD to be a long-term partner.

Shipments supporting the first GPU deployments are scheduled to begin in the second half of 2026, Meta said. The systems will be built on the Helios rack-scale architecture that Meta said it developed with AMD and introduced at last year’s Open Compute Project Global Summit.

Aligning Roadmaps

As part of the agreement, Meta said it would work with AMD to align product roadmaps across silicon, systems, and software.

AMD Chair and CEO Lisa Su said on Feb. 24 that the expanded partnership reflects the scale of Meta’s AI build-out.

“We are proud to expand our strategic partnership with Meta as they push the boundaries of AI at unprecedented scale,” Su said in a company statement.

“This multi-year, multi-generation collaboration across Instinct GPUs, EPYC CPUs, and rack-scale AI systems aligns our roadmaps to deliver high-performance, energy-efficient infrastructure optimized for Meta’s workloads, accelerating one of the industry’s largest AI deployments and placing AMD at the center of the global AI buildout.”

Meta described the agreement as part of its broader “portfolio-based approach” to infrastructure under its Meta Compute initiative.

The company said it is diversifying its supplier base while also developing its own Meta Training and Inference Accelerator (MTIA) chips to handle AI workloads.

By combining third-party hardware with its own silicon efforts, Meta said it aims to build a more resilient and flexible technology stack capable of supporting rapid AI growth.

In its statement, AMD disclosed financial details of the agreement, including a performance-based warrant for up to 160 million shares of AMD common stock issued to Meta.

The warrant will vest in stages as shipment milestones are reached. The first tranche will vest once the initial 1 gigawatt of Instinct GPUs has been shipped, with additional tranches tied to scaling purchases up to 6 gigawatts.

Vesting is also linked to certain stock price thresholds, and Meta must meet technical and commercial milestones to exercise the shares.

“We expect this partnership to drive substantial multi-year revenue growth and be accretive to our non-GAAP earnings per share, marking another significant step forward in delivering on our ambitious long-term financial model,” said Jean Hu, AMD’s executive vice president, chief financial officer, and treasurer.

Nvidia Deal

The AMD agreement follows another multi-year AI infrastructure partnership Meta announced on Feb. 17 with Nvidia.

Meta said that the partnership would support its build-out of AI-optimized data centers for both training and inference, as well as core business operations.

“No one deploys AI at Meta’s scale—integrating frontier research with industrial-scale infrastructure to power the world’s largest personalization and recommendation systems for billions of users,” Nvidia founder and CEO Jensen Huang said in the Feb. 17 announcement.

“Through deep co-design across CPUs, GPUs, networking, and software, we are bringing the full Nvidia platform to Meta’s researchers and engineers as they build the foundation for the next AI frontier.”

As part of the Nvidia collaboration, Meta has adopted Nvidia Confidential Computing technology for WhatsApp private messaging and is deploying Nvidia’s Spectrum-X Ethernet networking platform to improve performance and energy efficiency across its infrastructure.

Zuckerberg said that together the partnership aims to build leading-edge clusters, using Nvidia’s Vera Rubin platform “to deliver personal superintelligence to everyone in the world.”