AMD (AMD) backstops USD 300mln Crusoe loan for AI chip purchases, The Information reports; AMD will rent chips from Crusoe if the startup lacks customers.

AMD (AMD) backstops USD 300mln Crusoe loan for AI chip purchases, The Information reports; AMD will rent chips from Crusoe if the startup lacks customers.

AMD's decision to backstop a USD 300 million loan for Crusoe highlights its commitment to securing supply for AI chip production, addressing the growing demand in this sector. By agreeing to rent chips if Crusoe struggles with customer acquisition, AMD mitigates potential supply chain risks while positioning itself strongly within the AI space. This move could also signal to investors a strategic focus on expanding capabilities in a competitive semiconductor market.