AMD signs multibillion-dollar AI chip deal with Anthropic

Advanced Micro Devices ↗ 2.64% has signed a deal with Anthropic for tens of billions of dollars worth of AI servers and will invest up to $5 billion in the company, the Wall Street Journal News Corp ↘ 0.83% reported on Tuesday, in a move that marks a major escalation of AMD's challenge to Nvidia ↗ 2.94% in the AI chip market.1330 & 101.5 WHBL

A Third Mega-Deal for AMD

The agreement calls for Anthropic to deploy up to 2 gigawatts of AMD's Instinct MI450 Series GPUs, with the first gigawatt deployment beginning in the first half of 2027, according to Reuters. The deal represents AMD's first equity investment in Anthropic and follows a pattern the chipmaker has established in recent months: pairing massive chip supply agreements with equity stakes in its largest customers.1330 & 101.5 WHBL

AMD has already signed similar arrangements with OpenAI, which agreed to a 6-gigawatt GPU deployment in October 2025, and Meta Platforms ↘ 2.55%, which signed a deal valued at over $100 billion for 6 gigawatts of MI450 chips in February. In both cases, AMD offered warrants for up to 10 percent of its shares as an incentive.Advanced Micro Devices, Inc.+2

The timing of the announcement coincides with AMD's flagship Advancing AI 2026 conference, which opened in San Francisco on Tuesday. CEO Lisa Su is scheduled to deliver a keynote on Thursday. Citi analyst Atif Malik had predicted the Anthropic announcement would come at this event, noting in May that industry discussions pointed to the deal.TheStreet+2

Anthropic Diversifies Its Chip Supply

For Anthropic, the partnership adds AMD as a fourth major chip supplier alongside Nvidia GPUs, Google Alphabet Inc. ↘ 0.17% TPUs, and Amazon Amazon.com, Inc. ↘ 1.18% Trainium chips. The AI company has been aggressively securing computing capacity in 2026 as demand for its Claude models has surged, with annualized revenues reaching $30 billion earlier this year.Financial Times

In April, Anthropic secured up to 5 gigawatts of Amazon's custom Trainium chips as part of a deal that included a $5 billion investment from Amazon, bringing Amazon's total stake to $13 billion. Separately, Broadcom ↗ 2.92% announced an expanded deal to provide Anthropic with approximately 3.5 gigawatts of computing power using Google's TPUs. The company has also been raising additional capital, seeking over $30 billion at a valuation approaching $900 billion ahead of a potential IPO.CNBC+3

AMD's MI450 Gains Momentum

The MI450 GPU, built on AMD's CDNA 5 architecture, is currently being sampled to customers ahead of production shipments in the second half of this year. The chip delivers 40 petaflops of FP4 performance—double that of its predecessor—and features 432 GB of HBM4 memory with bandwidth of 19.6 TB/s.Wccftech+1

Signs of the Anthropic partnership had surfaced days before the formal announcement, when SemiAnalysis discovered that an AMD AI software executive had listed Anthropic as a top-priority "customer" in a code file published to GitHub.Stocktwits+1