Advanced Micro Devices (NASDAQ:AMD) shares moved on Thursday as India’s AI infrastructure buildout gained momentum, spotlighting new demand drivers and fresh supply-chain pressures for chipmakers.
OpenAI, Tata Push 1-Gigawatt AI Buildout In India
AMD trended on Thursday following news that OpenAI is expanding AI infrastructure in India with a planned data center buildout that could materially lift long-term accelerator demand across the region, coming after a scalable AI data center partnership involving the Tata Group.
The project is designed to scale to as much as one gigawatt, with Tata Group and Tata Consultancy Services positioned to help build and operate capacity as global chipmakers intensify competition for India’s fast-growing AI market.
Super Micro Weighs Local Production As AI Race Expands
Additionally, AI server company Super Micro Computer Inc (NASDAQ:SMCI) said it is weighing options to build more systems in India.
Super Micro is exploring handling of local production, ANI News reported on Wednesday.
Vik Malyala, managing director and president for EMEA, said Super Micro is spending time with customers in India to map out buyer requirements.
Super Micro is also adding staff in-country to support deployments, according to the report.
India has become a growing focus for AI investment, with NVIDIA Corp (NASDAQ:NVDA) also expanding partnerships and infrastructure initiatives in the country.
For AMD investors, that competitive backdrop matters because early design wins and ecosystem relationships can influence long-term chip adoption.
Market Context — AI infrastructure Race Is Widening Beyond The U.S.
At the same time, the AI buildout is colliding with ongoing supply constraints and allocation concerns across the accelerator market.
Jim Cramer recently argued that companies pursuing their own silicon may still have to worry about GPU allocations after Meta Platforms Inc (NASDAQ:META) expanded its long-term AI infrastructure relationship with Nvidia, while Meta continues to diversify with in-house chips and alternatives that include AMD — comments that kept attention on tighter GPU allocations as a near-term swing factor for deployments.
At the same time, high-bandwidth memory pricing remains a key variable. Samsung Electronics Co (OTC:SSNLF) is raising prices for next-generation HBM4 chips amid tight supply, reinforcing cost pressures across the AI hardware stack.
For AMD, higher HBM prices can weigh on bill-of-materials economics, but they also underscore the importance of securing long-term memory supply as AI demand expands globally.
AMD Price Action: Advanced Micro Devices shares were up 0.92% at $201.97 at the time of publication on Thursday, according to Benzinga Pro data.
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