AMD signs AI chip-supply deal with OpenAI, gives it option to take a 10% stake

AMD said on Monday it will supply artificial intelligence chips to OpenAI in a multi-year deal that would bring in tens of billions of dollars in annual revenue and give the ChatGPT creator the option to buy up to roughly 10 percent of the chipmaker. Shares of AMD surged more than 34 percent to touch a more than one-year high of $226.71 and added $80 billion to its market capitalization. The latest deal, among a string of investment commitments, is a testament to OpenAI and the broader AI industry's voracious appetite for computing power as companies race toward developing AI technology that meets or exceeds human intelligence. The deal offers OpenAI an opportunity to take a stake in one of...