The wave of big deals in the artificial intelligence (AI) and high performance computing (HPC) space continues, with the latest one coming from OpenAI, which agreed to buy tens of billions of dollars worth of chips from Advanced Micro Devices (AMD).
According to financial timesit’s also possible that OpenAI will acquire up to a 10% stake in AMD over time. AMD stock is currently changing hands, surging about 30% to around $225.
The chips purchased under this agreement will provide a total of 6 gigawatts (GW) of computing power. According to the article, OpenAI executives estimate that developing 1GW of capacity will cost about $50 billion, including chips and necessary support infrastructure.
As a result, the stock prices of AI and HPC-focused miners often rise on the back of such large deals and infrastructure builds.
During Monday’s US Open: BitFarms (BITF) rose 8%, IREN (IREN) rose 12% to trade at an all-time high near $56, Hive Digital (HIVE) rose 12%, Cipher Mining (CIFR) rose 7%, CleanSpark (CLSK) added 5%, and Terrawolf (WULF) also rose 5%.
Galaxy expands into AI/HPC
Galaxy Digital (GLXY) has transformed its Helios campus into a large-scale AI/HPC data center and has emerged as a major beneficiary of rapid price changes in the AI and HPC infrastructure space.
In August, the company secured $1.4 billion in project financing to renovate its facilities and signed a long-term lease with CoreWeave (CRWV) covering up to 800MW of computing capacity.
The AMD news also coincided with the launch of the company’s Galaxy One, sending the company’s stock up 5% on Monday. GalaxyOne is a new wealth management platform that offers a 4% yield on FDIC-insured cash and seamless automated investing in cryptocurrencies and US stocks.
GLXY stock is up 116% since the beginning of the year.
