Meta to take potential 10 per cent stake in AMD under new chip pact

Advanced Micro Devices (AMD.O) announced this week that it has agreed to sell up to $60 billion worth of artificial intelligence chips to Meta Platforms (META.O) over five years. The deal includes a provision allowing the Facebook owner to eventually purchase as much as 10 per cent of the chip firm.

AMD shares rose more than 6 per cent following the news, while market leader Nvidia (NVDA.O) initially dipped and later saw its stock price slide after its own quarterly earnings report on Wednesday.