Nvidia's Huang says he's surprised AMD offered 10% of the company in 'clever' OpenAI deal

During a recent interview, Nvidia's CEO Jensen Huang expressed his astonishment at Advanced Micro Devices (AMD) offering a substantial 10% stake in the company as part of its new partnership with OpenAI. This multibillion-dollar deal, unveiled earlier this week, caught Huang off guard. Huang remarked, "It's imaginative, it's unique and surprising, considering they were so excited about their next generation product. I'm surprised that they would give away 10% of the company before they even built it. And so anyhow, it's clever, I guess." The collaboration between OpenAI and AMD was officially announced on Monday, with OpenAI committing to purchase an impressive 6 gigawatts of AMD chips over several years, which includes the highly anticipated MI450 series. Additionally, the agreement grants OpenAI warrants for up to 160 million AMD shares, with vesting milestones tied to deployment volume and the performance of AMD’s stock. Should OpenAI decide to exercise the full warrant, it could potentially secure around 10% ownership of AMD.