Advanced Micro Devices NASDAQ:AMD, a semiconductor company producing processors and artificial-intelligence accelerators, soared approximately 12.7% in Thursday's regular-session trading as AI-chip stocks rebounded following Microsoft's stronger cloud results. The Philadelphia Semiconductor Index advanced approximately 6.7%, placing it on course to end a five-session decline. AMD's move also returned investor attention to the company's agreement with Core Scientific NASDAQ:CORZ, a data-center operator transitioning from cryptocurrency infrastructure to AI computing.
The agreement gives AMD access to more than 500 megawatts of AI-ready capacity beginning in 2027, with the potential to expand to 2.5 gigawatts. AMD customers will be able to use the infrastructure to deploy the company's chips and software, while the companies will collaborate on physical data-center design. AMD will also receive market-priced warrants to purchase Core Scientific shares, subject to commercial conditions, although the financial terms were not disclosed.
Demand for electricity, land and computing facilities has increased as cloud providers and enterprises expand artificial-intelligence programs. Growing from 500 megawatts to 2.5 gigawatts would represent a fivefold increase in capacity covered by the arrangement. The agreement could help AMD address an infrastructure bottleneck while competing for AI workloads, but its financial contribution will depend on customer adoption and deployment timing. Investors may now assess how quickly the initial capacity becomes operational and whether AMD can convert greater infrastructure access into accelerator revenue.