Core Scientific shares rise as AMD announces $14 billion AI infrastructure partnership
AMD has entered a strategic AI infrastructure agreement with Core Scientific, covering over 500 MW of U.S. data center capacity starting in 2027, with an option to expand up to 2.5 GW. The deal could generate more than $14 billion in base revenue for Core Scientific according to management estimates from its Q2 earnings call. The partnership involves designing AI systems using AMD Instinct GPUs and EPYC CPUs supported by ROCm software, aimed at serving customers deploying AMD products rather than the company's internal needs. The agreement includes warrants issued to AMD under certain commercial conditions but lacks specific details on shares or exercise prices. Core Scientific is transitioning from bitcoin mining toward high-density colocation services for AI infrastructure. Its Texas Pecos campus expansion aligns with the 2027 timeline of this partnership, though no direct connection was made between that site and AMD's capacity needs.
Topics: AI infrastructure AMD partnership data center capacity