--- title: "AMD's key battle to catch up with NVIDIA: Meta's 6 gigawatt computing power order is finalized, and it also announces investment to strengthen the alliance" type: "News" locale: "en" url: "https://longbridge.com/en/news/276735213.md" description: "Meta Platforms announced that it will deploy 6 gigawatts of data center equipment based on AMD processors, marking a key victory for AMD in its pursuit of NVIDIA. According to the agreement, Meta will procure AI-designed chips and server equipment from AMD over the next five years and will receive warrants to purchase 160 million shares of AMD stock. This move is part of Meta's expansion strategy, with Zuckerberg committing to invest hundreds of billions of dollars in building computing infrastructure. Despite investors' concerns about the AI bubble, global spending on AI hardware continues to accelerate" datetime: "2026-02-24T12:46:02.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/276735213.md) - [en](https://longbridge.com/en/news/276735213.md) - [zh-HK](https://longbridge.com/zh-HK/news/276735213.md) --- > Supported Languages: [简体中文](https://longbridge.com/zh-CN/news/276735213.md) | [繁體中文](https://longbridge.com/zh-HK/news/276735213.md) # AMD's key battle to catch up with NVIDIA: Meta's 6 gigawatt computing power order is finalized, and it also announces investment to strengthen the alliance According to Zhitong Finance APP, Meta Platforms (META.US) recently announced that it will deploy data center equipment with a computing power scale of 6 gigawatts, based on AMD (AMD.US) processors. This significant deal marks a key victory for AMD in its pursuit of catching up with NVIDIA (NVDA.US). Under the agreement, Meta will purchase chips and server equipment designed by AMD specifically for AI models over five years, starting in the second half of 2026. AMD CEO Lisa Su revealed that the transaction amount per gigawatt capacity will reach the "hundreds of billions of dollars" level. As part of the cooperation terms, Meta will gradually obtain warrants to purchase 160 million shares of AMD stock. These warrants will come into effect as project progress and AMD's stock price reach specific milestones, making Meta a significant shareholder in AMD. This deal is the latest move in Meta's ongoing expansion. CEO Mark Zuckerberg has prioritized AI as a key strategy, committing to invest hundreds of billions of dollars in "aggressive layout" of computing infrastructure. Last month, Zuckerberg officially launched the Meta Compute computing power plan, aiming to "build tens of gigawatts of computing power within this decade and gradually expand to hundreds of gigawatts," with the goal of establishing a strategic advantage over competitors. For reference, 1 gigawatt of computing power is roughly equivalent to the output of a nuclear power unit, capable of meeting the electricity needs of about 700,000 households. This collaboration also signifies that AMD is directly competing with industry leader NVIDIA—just last week, NVIDIA announced its partnership with Meta. This also indicates that despite some investors' concerns about an AI investment bubble, global spending on AI hardware continues to accelerate. For Meta, the partnership with AMD not only provides customized chip components but also allows deep involvement in the design direction of next-generation semiconductors. Santosh Janardhan, Meta's global infrastructure head, stated, "Our goals are very ambitious." Meta will continue to advance its self-developed AI chips while also procuring NVIDIA products, with the three types of chips supporting different AI computing tasks. "Given our current scale, all three solutions (self-developed, AMD, NVIDIA) have their place," Janardhan said in an interview. Janardhan, who reports directly to Zuckerberg, also revealed that the company has not yet determined which data centers will be equipped with the new chips from AMD. These processors are primarily used in the AI inference phase, which is the practical application phase of the model after training. Lisa Su stated that Meta has long been deeply involved in AMD chip design and will also receive customized MI450 accelerator cards and their subsequent upgraded products in the future. Janardhan noted that being able to define chip requirements more precisely is also an important reason for Meta's decision to deeply bind with AMD. "Our strategy is to accelerate and scale up," Su said, "The collaboration with Meta has been very smooth, and this agreement elevates the relationship between both parties to a new height." Currently, Meta is AMD's second-largest customer and will play a more critical role in AMD's growth strategy in the future. AMD achieved sales of $34.6 billion last year, and Wall Street expects revenue to grow by 34% this year. Even with just an additional $10 billion in revenue, it would significantly accelerate AMD's pace in catching up with NVIDIA. However, despite the high growth in performance, AMD has recently faced skepticism from investors: the market is concerned that the expansion speed of AI concept stocks may not support the current valuation. After a 77% surge in stock price in 2025, AMD has fallen by 8.2% this year. But Meta's investment this time clearly bets that AMD's stock price is still in the early stages of a long-term rise. The effectiveness conditions for some warrants require the stock price to reach $600, while AMD's closing price on Monday was only $196.60 ### Related Stocks - [Meta Platforms, Inc. (META.US)](https://longbridge.com/en/quote/META.US.md) - [GraniteShares 2x Long AMD Daily ETF (AMDL.US)](https://longbridge.com/en/quote/AMDL.US.md) - [iShares Semiconductor ETF (SOXX.US)](https://longbridge.com/en/quote/SOXX.US.md) - [Invesco AI and Next Gen Software ETF (IGPT.US)](https://longbridge.com/en/quote/IGPT.US.md) - [Direxion Daily AMD Bull 2X Shares (AMUU.US)](https://longbridge.com/en/quote/AMUU.US.md) - [Roundhill META WeeklyPay ETF (METW.US)](https://longbridge.com/en/quote/METW.US.md) - [Invesco PHLX Semiconductor ETF (SOXQ.US)](https://longbridge.com/en/quote/SOXQ.US.md) - [Global X Cloud Computing ETF (CLOU.US)](https://longbridge.com/en/quote/CLOU.US.md) - [GraniteShares 2x Long META Daily ETF (FBL.US)](https://longbridge.com/en/quote/FBL.US.md) - [Advanced Micro Devices, Inc. (AMD.US)](https://longbridge.com/en/quote/AMD.US.md) - [Vanguard Information Technology ETF (VGT.US)](https://longbridge.com/en/quote/VGT.US.md) - [Direxion Daily META Bull 2X ETF (METU.US)](https://longbridge.com/en/quote/METU.US.md) - [NVIDIA Corporation (NVDA.US)](https://longbridge.com/en/quote/NVDA.US.md) - [The Technology Select Sector SPDR® ETF (XLK.US)](https://longbridge.com/en/quote/XLK.US.md) - [VanEck Semiconductor ETF (SMH.US)](https://longbridge.com/en/quote/SMH.US.md) - [Direxion Daily Semicondct Bull 3X ETF (SOXL.US)](https://longbridge.com/en/quote/SOXL.US.md) - [Global X Data Center & Dgtl Infrs ETF (DTCR.US)](https://longbridge.com/en/quote/DTCR.US.md) ## Related News & Research - [Meta spokesperson on exec stock options: share price increase must be on an exceedingly aggressive 5-year timeline](https://longbridge.com/en/news/280396775.md) - [Meta Opens Manhattan Store As Capital Shifts From Metaverse To AI](https://longbridge.com/en/news/279834632.md) - [Meta makes 'big bet' on top leaders with stock options as pressure builds to catch up in AI](https://longbridge.com/en/news/280402703.md) - [AMD Eyes Major AI Win with 10,000-Chip Deal in Korea](https://longbridge.com/en/news/280108451.md) - [LPU: Nvidia popularizes a new AI acronym](https://longbridge.com/en/news/279662346.md)