Advanced Micro Devices (AMD) is currently exploring a substantial partnership with the South Korean artificial intelligence (AI) enterprise, Upstage. The proposed agreement involves the sale of 10,000 AI accelerators, as Upstage endeavors to augment its computational infrastructure within South Korea. This strategic engagement highlights Upstage's drive to broaden its technology suppliers, moving beyond its present reliance on Nvidia hardware. The discussions come as Upstage actively participates in a governmental initiative designed to foster the creation of domestic AI models, where leading contenders gain enhanced access to Nvidia's Graphics Processing Units (GPUs).
AMD and Upstage Negotiate Landmark AI Accelerator Supply Agreement
In a significant development for the global AI and semiconductor markets, Advanced Micro Devices (AMD) is engaged in high-level discussions with Upstage, a prominent South Korean AI startup. The proposed deal, revealed on March 23, 2026, involves the potential procurement of 10,000 MI355 AI accelerators by Upstage. This initiative is being spearheaded by Upstage CEO Sung Kim, who recently met with AMD CEO Lisa Su in Seoul to deliberate the specifics of the acquisition. Upstage’s motivation stems from a desire to expand South Korea's computing power and to reduce its dependence on Nvidia Corp. for AI hardware. The company is also a key participant in a national competition backed by the South Korean government, which aims to develop indigenous AI models and provides top teams with increased access to Nvidia's powerful GPUs. This potential collaboration underscores a growing trend among AI firms to diversify their supply chains and foster competitive innovation in the AI landscape.
This potential collaboration between AMD and Upstage highlights the dynamic and competitive nature of the artificial intelligence hardware market. For AMD, securing such a large order would significantly bolster its position as a leading provider of AI accelerators, challenging Nvidia's dominant market share. It also signifies the increasing global demand for sophisticated AI infrastructure, particularly as nations prioritize the development of their own AI capabilities. For Upstage, this move represents a crucial step towards achieving greater autonomy and resilience in its AI research and development efforts, potentially accelerating South Korea's technological advancement in the AI domain. The emphasis on diversifying away from a single supplier also suggests a strategic imperative for companies to mitigate risks and foster innovation through broader partnerships.