Meta has agreed to purchase up to $100 billion of AMD chips over the next several years, the two companies confirmed on Thursday in a joint statement that marked the largest single commercial supply commitment in AMD’s history. The agreement covers a mix of the upcoming MI540 series GPU accelerators and EPYC server processors, with deliveries scheduled to begin in late 2026 and ramp through 2029.
The deal reduces Meta’s reliance on Nvidia, which has supplied the bulk of the graphics processors powering Meta’s Llama family of foundation models and the AI infrastructure that drives recommendation, ad-targeting and generative content features across Facebook, Instagram and WhatsApp. Meta’s capital expenditure for 2026 is now expected to land between $84 billion and $92 billion, of which the AMD commitment will absorb a growing share through the back half of the decade.
AMD chief executive Lisa Su called the agreement "a defining moment" for the company’s data-centre franchise, and confirmed that production of the MI540 line will use TSMC’s 2-nanometre process node. AMD has also begun production of its sixth-generation EPYC processors, codenamed Venice, on the same node — the first high-performance computing product to enter mass production at 2nm.
The MI540 series represents AMD’s third major generation of dedicated AI accelerators after the MI300 and MI350 lines, and is targeted directly at the training and inference workloads that today are dominated by Nvidia’s Blackwell and Rubin families. AMD said the chips will ship with the next iteration of its ROCm software stack and with native support for the open-source PyTorch ecosystem on which Meta’s internal model-training pipelines run.
Meta’s commitment is the latest in a string of large AI infrastructure outlays. The company on the same day disclosed that it had raised the budget for its planned El Paso data centre from $1.5 billion to over $10 billion, expanding the facility to one gigawatt of capacity by its 2028 launch. The pattern — sharply higher capex, longer-dated chip commitments and direct involvement in power-supply contracting — is now common across hyperscalers.
AMD shares rose 7.2 per cent in after-hours trading on Thursday and added a further 2 per cent on Friday; Nvidia closed roughly 1.4 per cent lower across the same period. Industry analysts said the deal does not displace Nvidia’s dominant position but does narrow the field of credible alternatives to its rack-scale offerings, particularly as software portability across vendor ecosystems improves.