By Ian King, Bloomberg
Advanced Micro Devices Inc., Nvidia Corp.’s nearest rival in AI processors, said Oracle Corp. will deploy a large batch of its forthcoming MI450 chips next year.
Oracle will put 50,000 of the semiconductors in data center computers starting in the third quarter of 2026, according to a statement Tuesday. The systems will contain AMD processors and networking components.
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Letters: Tricky numbers make AI centers seem thirsty Gov. Newsom signs law to protect kids from the risks of AI chatbots OpenAI partners with Broadcom to design its own AI chips Opinion: Data centers must disclose how much water they’re consuming OpenAI wants to build the next era of the web, and it’s shelling out billions to do itThe announcement is the latest in a frenzy of commitments by big tech and AI companies to build more computing infrastructure. They’re all racing to meet demand for AI services that they say is skyrocketing.
It’s also another endorsement of AMD technology. The Santa Clara, California-based company is working to become a credible alternative to Nvidia, the dominant provider of AI processors.
Like its much larger rival, AMD offers so-called AI accelerators — based on graphics processing units — as well as general-purpose processors and some networking chips. It’s now trying to up its game further and match Nvidia’s ability to provide data center owners with complete computers.
In the second quarter, AMD shipped about 100,000 AI processors, according to research firm IDC. Nvidia delivered 1.5 million in the same period.
Oracle and AMD didn’t specify when they expect to complete the installation, but they see it expanding in 2027 “and beyond.” The companies also didn’t say how much of AMD’s total supply would be claimed by Oracle.
The Oracle announcement follows an AMD deal with OpenAI, the AI startup that has clinched computing agreements with a number of chipmakers. In that longer-term partnership, OpenAI is slated to buy 6 gigawatts’ worth of computers featuring AMD accelerators over multiple years.
On Monday, OpenAI also announced an agreement with chipmaker Broadcom Inc. That deal is meant to add 10 gigawatts of capacity.
More stories like this are available on bloomberg.com
©2025 Bloomberg L.P.
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