Oracle will launch new cloud services built on AMD’s upcoming MI450 artificial intelligence processors, the companies announced, marking a significant step in expanding their AI computing capabilities. The initial deployment of 50,000 MI450 chips is set for the third quarter of 2026, with larger scale rollouts planned through 2027 and beyond.
The agreement positions AMD as a key supplier in the AI chip market, joining major players like Nvidia, while enabling Oracle to strengthen its AI infrastructure portfolio. “Demand for large-scale AI capacity is accelerating as next-generation AI models outgrow the limits of current clusters,” the firms said.
AMD’s stock rose more than 3% in premarket trading on the news, contrasting with a broader market downturn amid U.S.-China trade tensions. Oracle shares fell around 1%. The announcement follows AMD’s recent multi-year deal with OpenAI, under which the ChatGPT maker may acquire up to 10% of AMD. OpenAI is also reportedly planning a $300 billion cloud deal with Oracle over five years, using AMD’s technology.
Oracle’s upcoming “AI superclusters” will be powered by AMD’s Helios rack design, integrating GPUs and CPUs to deliver massive computing power. The collaboration highlights AMD’s growing rivalry with Nvidia, which already dominates the market for AI-optimized systems.
