AMD Secures Oracle (ORCL) AI Chip Deal, Challenging Nvidia's Lead

In a major win for Advanced Micro Devices (AMD), Oracle (ORCL) commits to deploying 50,000 of AMD’s upcoming MI450 AI chips in data centers starting in Q3 2026. This move boosts AMD’s stock by 1.4% while Oracle’s falls by 4.1%. Despite Nvidia’s (NVDA) lead in AI chip shipments, AMD aims to challenge its dominance with partnerships like this one. The deal signals a shift in the AI infrastructure market, with Oracle planning to expand deployment beyond 2026. This move positions AMD as a credible competitor to Nvidia and could accelerate its market share gains in AI chips, challenging the industry giant’s stronghold.