StocksMediumUpdated•Originally published 5 October 2026•Updated 5 October 2026•
1 min read
AMD Grants OpenAI and Meta Warrants Linked to Massive AI Chip Orders
Key Facts
1AMD granted warrants to OpenAI and Meta for up to 160 million shares each at a strike price of $0.01 per share.
2The vesting of these warrants is contingent upon the companies purchasing up to 6 gigawatts of AMD's AI chips.
AMD granted warrants to OpenAI and Meta allowing each company to purchase up to 160 million shares at a nominal strike price of $0.01 per share. The Motley Fool reported that the vesting of these warrants is strictly contingent upon the companies purchasing up to 6 gigawatts of AMD's AI chips.
The deal is structured to incentivize large-scale, long-term adoption of AMD's AI hardware by two of the world's leading AI infrastructure spenders. While the partnership secures significant future revenue streams, the potential 16% dilution of existing shareholders represents a notable long-term consideration for the company's capital structure.