New Delhi, Oct. 6 -- Shares of Advanced Micro Devices (AMD) soared about 35% on Monday after announcing a multi-year partnership with OpenAI to develop AI data centres.

The deal permits California-based OpenAI to diversify its supply of semiconductors so that it does not depend solely on US powerhouse Nvidia. Nvidia shares dipped 1.2%.

At 10:15 AM EDT, the AMD stock stood at $207.73, up 25%. Earlier, it surged about 35%.

AMD has announced a significant multi-year deal to supply artificial intelligence chips to OpenAI. The agreement is poised to generate tens of billions of dollars in annual revenue for AMD and grants the creator of ChatGPT the option to acquire a minority stake in the chipmaker.

This latest deal is a powerful testamen...