Advanced Micro Devices, Inc (NASDAQ:AMD) stock gained on Friday as it solidified its role across the high-performance computing landscape, as its new Extreme Performance Yield Computing (EPYC) processors power Super Micro Computer, Inc’s (NASDAQ:SMCI) latest AI servers while its hardware enables a breakthrough in International Business Machines Corporation’s (NYSE:IBM) quantum computing.
From powering Supermicro’s efficient data center solutions to enabling a key advance in IBM’s quantum computing research, AMD’s hardware is being integrated into a widening range of next-generation technologies.
Also Read: ChatGPT Parent OpenAI, AMD Partner In Landmark AI Deal
AMD is playing a key role in the latest product expansion from Supermicro, a major provider of AI servers.
The company’s new EPYC 4005 series processors are at the core of Supermicro’s new MicroBlade multi-node solution.
AMD’s chips enable Supermicro to offer a powerful, efficient, and affordable system for cloud service providers and businesses to modernize their data centers for online gaming and AI inference.
This collaboration is part of a broader trend, as Supermicro has confirmed that it is just now beginning to ship its latest generation of AI-focused systems, which feature new products from both AMD and its rival, Nvidia Corporation (NASDAQ:NVDA).
In a significant step toward making quantum computers a commercial reality, AMD is providing the key hardware for IBM’s latest breakthrough in the field.
IBM announced on Friday that it can now run a critical error-correction algorithm for its quantum computers on commonly available AMD chips. The algorithm addresses the errors that plague quantum bits (qubits), or the core components of these powerful machines.
Jay Gambetta, an IBM research director, told Reuters about the importance of this development, noting that using a readily available, affordable AMD chip demonstrates that the error-correction system is practical for real-world applications.
AMD stock gained over 107% year-to-date. In the first week of October, AMD collaborated with ChatGPT parent OpenAI to supply AI computing power.
Bank of America analyst Vivek Arya noted the multi year deal could generate over $100 billion in revenue for the chipmaker. According to Arya, this agreement solidifies AMD’s position as a powerful competitor to Nvidia. Arya highlighted that AMD will supply up to six gigawatts of computing capacity to OpenAI, beginning in late 2026, using its next-generation Instinct MI450X GPUs.
AMD Price Action: Advanced Micro Devices shares were up 6.63% at $250.56 at the time of publication on Friday. The stock is trading at a new 52-week high, according to Benzinga Pro data.
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