AMD's stock slid 6.7% to $461.80 following news of its new partnership with Core Scientific aimed at building AI infrastructure. The deal grants AMD access to up to 2.5 gigawatts of AI-ready data center capacity, with initial deployments targeting over 500 megawatts starting in 2027.
This collaboration goes beyond typical hardware supply agreements by combining AMD’s advanced computing platforms including Instinct GPUs, EPYC processors, and the ROCm software with Core Scientific’s power and data center facilities. The companies will jointly develop physical infrastructure designed specifically for high-density AI workloads, positioning themselves to meet growing enterprise and cloud demand across the U.S.
Core Scientific is leveraging this deal to pivot parts of its business from cryptocurrency mining toward AI infrastructure services, cementing its role as a long-term provider of large-scale computing environments. The arrangement allows AMD customers to deploy AI systems without the burden of independently securing massive data center power capacity, tackling one of the biggest hurdles in scaling AI operations.
With AI infrastructure investments accelerating industry-wide, AMD’s strategic move could intensify competition in the semiconductor market. It also highlights how companies like Core Scientific are diversifying beyond crypto, a trend echoed by others expanding their cloud and AI service offerings.
