Advanced Micro Devices (AMD) shares fell 6.70% to $461.80 after the company announced a long-term AI infrastructure partnership with Core Scientific. The agreement secures access to as much as 2.5 gigawatts of data center capacity for future AI deployments. The collaboration also expands AMD’s computing ecosystem while supporting large-scale AI infrastructure beginning in 2027.

AMD secures long-term AI infrastructure capacity

Core Scientific and AMD signed a strategic agreement covering up to 2.5 gigawatts of AI-ready data center capacity. The companies plan to begin making more than 500 megawatts available during 2027. The agreement also leaves room for future expansion as demand for AI computing continues to increase.

The partnership combines AMD’s computing platforms with Core Scientific’s power and data center infrastructure. Planned deployments will use AMD Instinct GPUs, EPYC processors, and the ROCm software platform. The agreement is designed to support customers deploying large AI computing workloads across the United States.

The companies will also work together on designing physical infrastructure for high-density computing environments. This approach aligns computing hardware with facilities built for demanding AI applications. As the AI buildout shifts from chip supply alone to the availability of power and data center space, agreements like this show how infrastructure has become a central part of deployment planning. AMD’s role in the arrangement also strengthens its ability to support enterprise and cloud-based AI deployments over the coming years.

Core Scientific advances its AI infrastructure strategy

Core Scientific continues to shift part of its business beyond cryptocurrency mining and into AI infrastructure services. The AMD agreement supports that strategy by committing substantial future data center capacity. In addition, the arrangement positions Core Scientific as a long-term infrastructure provider for advanced computing projects.

Unlike a conventional hardware supply agreement, the partnership combines computing systems with dedicated power and facility resources. This structure allows customers to deploy AI infrastructure without independently securing large-scale data center capacity. The companies said this addresses one of the biggest challenges facing expanding AI workloads.

AMD will also receive market-priced warrants to purchase Core Scientific common stock under specified commercial conditions. However, the companies did not disclose the financial value of the agreement or the size of any potential ownership stake. They also did not identify the customers expected to use the future infrastructure.

Agreement reflects rising demand for AI computing

Demand for AI computing infrastructure continues to rise as enterprises expand machine learning and large-scale computing projects. Power availability, land, and specialized data centers have become critical requirements for deploying modern AI systems. As a result, technology companies increasingly seek long-term infrastructure agreements rather than relying only on hardware sales.

The agreement gives AMD additional infrastructure capacity to support customers building AI systems at greater scale. More than 500 megawatts will become available during the initial deployment phase beginning in 2027. After that, the partnership provides a path toward expanding capacity to as much as 2.5 gigawatts. For the broader market, the announcement highlights how AI growth now depends not only on accelerators and software, but also on long-lead infrastructure that can be built and operated at scale.

Core Scientific shares also declined after the announcement, even though the company secured a major long-term commercial relationship. Still, the partnership strengthens Core Scientific’s transition toward AI infrastructure while expanding future revenue opportunities. AMD, meanwhile, broadens its AI ecosystem through guaranteed infrastructure access supporting future deployments across multiple customer segments.