AMD’s partnership with OpenAI is expected to bring in over $100 billion in sales, but revenue won’t start flowing until the second half of 2026, with significant growth anticipated in 2027. The deal could add substantial AI-related data center revenue once fully ramped up, offering power efficiency advantages that attract major AI players like Meta Platforms and Alphabet’s Google.

The partnership with OpenAI allows AMD to build a 6-gigawatt AI superhighway, with revenue potential exceeding $100 billion over the next few years. The deal includes stock warrants that grant OpenAI up to 160 million shares of AMD, contingent on performance milestones. The nonexclusive contract allows AMD to sell to other companies, maintaining a competitive industry landscape.

OpenAI’s partnership with AMD may influence other major players like Anthropic, Meta Platforms, and Alphabet’s Google to follow suit, potentially resulting in significant AMD orders. The deal has already driven AMD stock to an all-time high, signaling strong investor confidence in the company’s future growth. While revenue from the OpenAI partnership won’t materialize until late 2026, it represents a lucrative opportunity for AMD in the AI market.

Investors considering Advanced Micro Devices should note that the company was not included in the Motley Fool Stock Advisor’s list of top 10 stocks to buy now. The list, which has historically yielded substantial returns for investors, focuses on high-growth potential companies. While AMD’s partnership with OpenAI presents promising opportunities, it’s important to assess the company’s overall investment potential in the context of broader market trends.

Read more at Nasdaq: Hold Your Horses: AMD’s OpenAI Payday Starts in a Year (and Really Ramps Up in 2027)