AMD-OpenAI Deal Ignites Super Micro Stock Amid Escalating AI Infrastructure Race
AMD-OpenAI Deal Ignites Super Micro Stock Amid Escalating AI Infrastructure Race
Super Micro Computer (NASDAQ:SMCI) shares experienced a significant surge this Monday, driven by renewed investor enthusiasm for artificial intelligence. The boost follows a landmark announcement from Advanced Micro Devices (NASDAQ:AMD), which saw its stock climb sharply after revealing a massive deal to supply OpenAI with up to 6 gigawatts of its Instinct graphics processing unit (GPU) power for the AI firm’s next-generation infrastructure.
As a crucial Original Equipment Manufacturer (OEM) partner, Super Micro integrates AMD’s cutting-edge CPUs and GPUs into its server and IT solutions, serving data centers and enterprise clients globally. The collaboration is set to kick off with a 1-gigawatt deployment of AMD’s MI450 GPUs in the latter half of 2026, with plans for expansion across multiple chip generations. AMD’s CFO, Jean Hu, highlighted the partnership’s potential to generate billions in revenue, underscoring its highly accretive nature to earnings. The news sent AMD shares soaring 33% to $219.99, marking a new 52-week high.
This agreement intensifies the already fierce competition within the semiconductor sector. It comes on the heels of Nvidia’s (NASDAQ:NVDA) revelation last month of a $100 billion partnership with OpenAI, aiming to deploy 10 gigawatts of its Vera Rubin systems, further emphasizing the escalating race to build out AI infrastructure. Super Micro has emerged as a standout performer in this demand surge for AI-focused servers, with its stock gaining 79% year-to-date, significantly outperforming the Nasdaq 100.
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