AMD Shares Surge After High-Profile Deal With Meta Platforms
Yesterday, it was reported that Advanced Micro Devices (AMD) has expanded its collaboration with Meta Platforms. The companies struck an agreement under which:
→ Meta will purchase AMD equipment with a total capacity of 6 gigawatts for its AI infrastructure. Deliveries are scheduled to begin in the second half of 2026.
→ AMD?s portfolio could include around 160 million META shares, representing roughly 10% of the company.
The market interpreted the news as a signal that AMD is successfully establishing itself as the second major chip supplier to tech giants, challenging Nvidia?s monopoly (incidentally, the market leader is due to release its quarterly report today).
Following yesterday?s trading, AMD shares jumped more than 8%, closing near the highs on rising volume?a bullish sign. This partially offset the decline seen after the early-February earnings report, which was influenced by falling margins, supply chain issues, concerns over deliveries to China, and other factors.
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