Advanced Micro Devices (AMD) announced a significant strategic partnership with OpenAI to become a core preferred partner for deploying its next-generation AI infrastructure. The agreement includes a long-term commitment for OpenAI to deploy up to 6 gigawatts of AMD's Instinct MI450 graphics processing units (GPUs), with the initial phase set to begin in the second half of 2026. This landmark deal is anticipated to generate tens of billions of dollars in revenue for AMD over several years and includes a strategic investment from OpenAI through a warrant. The partnership solidifies AMD's position as a key player in the rapidly expanding market for AI hardware, directly competing with rivals like Nvidia. The collaboration will also involve leveraging AMD's ROCm 7 software to optimize AI model performance. The announcement follows AMD's strong third-quarter financial results, which already highlighted accelerating momentum in its data center and AI business segments. This deal with OpenAI, along with other recent partnerships with major tech companies like Microsoft and Google, is seen by analysts as a key catalyst that could significantly boost AMD's earnings and market share in the coming years.