AMD continues to strengthen its presence in the AI ecosystem by forming partnerships and gradually changing the balance of power in the computing accelerator market. As part of its latest collaboration with AMD, Oracle unveiled plans to deploy 50,000 Instinct MI450 accelerators to expand its AI infrastructure. This initiative follows the agreement, which provides for the construction of data processing centers with a capacity of 6 GW.
These actions highlight that major cloud and AI players, who previously depended almost entirely on Nvidia solutions, are diversifying their infrastructure. Following the announcement of AMD’s partnerships with OpenAI and Oracle, ES futures demonstrated slight growth, reflecting improved investor sentiment in the technology sector and growing investor interest in AI infrastructure companies. Nasdaq futures also ticked higher, underscoring how AI-driven optimism continues to influence broader tech benchmarks. Meanwhile, some investors shifted their focus to high dividend stocks to balance their exposure amid increased sector volatility.
The multi-year agreement between AMD and OpenAI includes the supply of Instinct accelerators across multiple generations and grants OpenAI the right to purchase up to 160 million AMD shares, which is approximately 10% of the authorized capital. The first cluster, based on the Instinct MI450 with a capacity of 1 GW, is scheduled to be launched in the second half of 2026. The total capacity of the OpenAI infrastructure using AMD solutions is expected to reach 6 GW in the future.
According to the statements of the heads of both companies, this partnership is mutually beneficial. OpenAI gains access to the scalable computing capacity required to advance its AI models. At the same time, AMD gets tens of billions of dollars in potential revenue and an opportunity to demonstrate the competitiveness of its solutions at scale. Lisa Su, the head of AMD, emphasized that the agreement brings together the strengths of both companies and establishes the foundation for a new level of performance and efficiency in AI.
At the same time, Oracle is developing its own line of AI infrastructure based on AMD and NVIDIA solutions. The central element is the OCI Zettascale10 platform, which leverages Oracle’s new Acceleron RoCE network design. This cluster, providing peak performance of up to 16 zettaflops, will form the basis of the flagship Stargate supercluster, which is being created in collaboration with OpenAI in Abilene, Texas.
The OCI Zettascale10, utilizing NVIDIA Spectrum-X Ethernet, provides ultra-low latency, high scalability, and hybrid connectivity via AMD’s Pensando DPU, representing an uncommon synergy between competing technologies. Oracle notes that the next-generation clusters will be located in high-density data center campuses, housing as many as 800,000 accelerators, which will enable the development of large-scale AI models with high energy efficiency and strict data control.
Following Oracle’s announcement that it plans to introduce 50,000 AMD accelerators in the second half of 2026, AMD’s shares rose by approximately 2%, while Oracle’s and Nvidia’s shares fell by roughly 4% and 3%, respectively. This trend reflects the growing market confidence in AMD as an alternative supplier of AI accelerators that can compete with Nvidia’s solutions in the data center segment.
The Instinct MI450 became AMD’s first accelerator designed to integrate into large 72-module rack clusters, offering flexibility for building systems, training and running advanced neural networks. Using the upcoming TSMC 2nm process technology will enable higher performance and improved energy efficiency.
The strategic alliances among AMD, OpenAI, and Oracle mark the beginning of a reshaping of power within the AI infrastructure market. Though Nvidia still controls more than 90% of the data center accelerator market, the rise of the alternative suppliers, the emergence of hybrid architectures, and large-scale projects like Stargate set the stage for the next wave of tech competition, where productivity and process technology will be as crucial as the ability to build sustainable partnerships and flexible supply chains.