AMD has promised OpenAI and Meta up to 320 million shares at a penny each

Advanced Micro Devices has handed two of the biggest names in AI a remarkable deal: the right to buy up to 320 million AMD shares for one cent apiece. The catch is that OpenAI and Meta Platforms have to earn them. They do it by buying staggering amounts of AMD hardware, and by watching AMD’s stock climb to targets that would have sounded like fan fiction a few years ago. How the penny-share deals work AMD issued the first warrant to OpenAI on October 5, 2025. Meta received a matching one on February 23, 2026. Each warrant covers up to 160 million shares at an exercise price of $0.01 per share. Both expire in five years. A warrant is essentially a coupon for stock. The holder can redeem it at a fixed price, but only if certain conditions are met. Here, the conditions are tied to compute. Each customer has committed to purchase up to 6 gigawatts of AMD’s Instinct MI450-series GPUs over roughly five years. The first 1 gigawatt tranche is expected to start shipping in the second half of 2026. Vesting happens in stages. Shares unlock as the customers hit purchase milestones and as AMD’s stock price clears a series of rising targets, the last of which sits at $600. As of AMD’s mid-2026 S...