AMD Buys World Labs for $8.2B to Bet on World Models
Advanced Micro Devices Inc. has agreed to acquire World Labs Inc., the world model startup founded by AI researcher Fei-Fei Li. AMD is paying $8.2 billion, entirely in stock. The chipmaker expects the transaction to close by the end of the year.
The deal comes only seven months after AMD took part in a $1 billion funding round for World Labs that valued the startup at $5 billion. Nvidia Corp., AMD's main rival in AI chips, also joined that round. That means Nvidia now stands to earn a substantial return from a company its competitor is buying.