New York, Feb 25, 2026, 10:43 EST — Regular session
- Meta Platforms climbed roughly 1.4% during morning trading.
- Meta could end up holding as much as 10% of AMD under the terms of the deal.
- Nvidia’s post-bell earnings are up next, with investors zeroing in on what the numbers could say about AI hardware demand.
Meta Platforms, Inc. climbed roughly 1.4% in Wednesday morning trading, last seen near $648. The stock earlier hit a session high of $648.56. (markets.businessinsider.com)
Investors are digesting a new round of AI spending, with tech names feeling the aftershocks—software stocks have borne the brunt lately. According to Reuters, Meta has agreed to acquire up to $60 billion in AI chips from Advanced Micro Devices over five years. The arrangement also gives Meta the option to take up to a 10% stake in AMD. (Reuters)
According to a regulatory filing, AMD granted Meta a performance-based warrant to acquire as many as 160 million AMD shares at just $0.01 apiece, contingent on hitting certain GPU shipment goals. Meta, for its part, locked in a binding commitment to buy an initial batch of AMD Instinct GPUs equivalent to one gigawatt, the filing showed. (SEC)
AMD and Meta have agreed on a deal that involves as much as 6 gigawatts’ worth of AMD Instinct GPUs—a gauge of data-center computing muscle—with the first gigawatt of hardware set to ship in the latter half of 2026. Meta chief Mark Zuckerberg described the agreement as a move to “diversify our compute” and boost “efficient inference compute,” his nod to AI’s answer-generating stage after training. (Advanced Micro Devices, Inc.)
Meta described the move as a “portfolio-based” strategy—pairing third-party hardware with its proprietary Meta Training and Inference Accelerator (MTIA) chips. According to the company, this setup gives them the flexibility they’re after as they ramp up infrastructure for a range of AI tasks. (About Facebook)
Meta is “locking in supply” and “diversifying away from a single vendor” while ramping up its AI push, according to Matt Britzman, senior equity analyst at Hargreaves Lansdown. Still, Britzman flagged that the equity sweetener attached hints AMD is likely making a big effort to stir demand for its upcoming hardware lineup. (Reuters)
Mike Mussio, who runs FBB Capital Partners, called the Meta-AMD partnership a “circular” AI deal—one that raises fresh questions for investors about what these alliances ultimately mean for both customers and suppliers. (Reuters)
But it’s hardly just a two-way fight in the AI chip space. Reuters says Meta is a buyer at Nvidia too, and the company’s infrastructure chiefs insist they’re sticking with multiple suppliers even as they work on building their own chips. (Reuters)
The real question, though, goes beyond individual contracts. Investors continue to wrestle with whether data-center investments will pay off quickly enough to warrant the hefty outlays. Reuters flagged these worries as a drag on Meta and other tech giants. Now, with Nvidia’s quarterly results due out after Wednesday’s close, traders are positioning for what could be the next big swing for the AI rally. (Reuters)
