Advanced Micro Devices has granted OpenAI and Meta the right to acquire up to 320 million shares at $0.01 per share. These warrants were issued to OpenAI on October 5, 2025, and to Meta on February 23, 2026. Each agreement is valid for five years and is contingent upon specific performance milestones.
The deal requires both companies to purchase up to 6 gigawatts of Instinct MI450-series GPUs each over a five-year period. Deliveries for the initial 1 gigawatt tranche are scheduled to begin in the second half of 2026. Shares will vest in stages as purchase targets are met and AMD stock reaches price thresholds, with the final target set at $600.
As of late July 2026, AMD had 1.63 billion shares outstanding. Full exercise of the warrants would increase the share count by approximately 19.6%. While the exercise would generate only about $3.2 million in cash for AMD, the paper value of these shares, based on September 2026 trading prices of $600 to $630, ranges from $192 billion to $202 billion.
AMD currently holds a market capitalization exceeding $1 trillion. The company aims to secure anchor customers to compete in the AI accelerator market. As of mid-2026, none of the warrants had vested, meaning the shares remain a contractual promise rather than an immediate transfer of equity.
