AMD Agrees to Acquire World Labs for Approximately $8.2 Billion
AMD announced a definitive agreement to acquire AI laboratory World Labs. The all-stock transaction is worth approximately $8.2 billion, with closing expected by the end of 2026.
The acquisition of World Labs is expected to expand AMD’s presence in artificial intelligence beyond chips and systems into research on models working with the physical and spatial world. On September 28, 2026, the company announced a definitive agreement to acquire AI research laboratory World Labs in an all-stock transaction worth approximately $8.2 billion.
The deal has not yet closed. AMD expects completion by the end of 2026, but regulatory approvals and the satisfaction of other customary transaction conditions remain required.
What World Labs Is Developing
World Labs focuses on spatial intelligence models. These are intended to generate, reconstruct and simulate interactive three-dimensional environments based on text prompts, images and video. The laboratory is also developing technologies intended for robotic learning and simulation.
According to AMD’s announcement, this expertise could help with the design of future AI infrastructure that will respond to changing model and computing-workload requirements. This is the company’s stated strategic intent; AMD has not yet introduced any specific hardware or software products resulting from the acquisition.
World Labs Acquisition to Bring Fei-Fei Li to AMD
After the transaction closes, Fei-Fei Li is expected to join AMD as executive vice president and chief scientist. She is expected to report to Lisa Su.
In its own announcement, World Labs said it is joining AMD and recalled its previous technical collaboration on training and inference on AMD GPUs. However, the precise scope of World Labs team integration and the deal’s final economic impact have not been disclosed.
All-Stock Transaction in AMD’s AI Strategy
For AMD, the deal means acquiring a team focused on physical- and spatial-world models and applications for simulation and robotics.
The transaction’s structure is also significant: it is an exchange for AMD shares. The company has not disclosed the precise number of shares to be issued or the deal’s final economic impact.
What to Watch Next
- Regulatory decisions and confirmation that the transaction has closed,
- any disclosure of the number of AMD shares issued,
- specific models, research projects or products AMD announces after integrating World Labs.
Sources
- AMD / GlobeNewswire – Confirms the definitive agreement, the all-stock value of approximately $8.2 billion, closing conditions, World Labs’ focus and Fei-Fei Li’s planned role at AMD.
- World Labs – World Labs independently confirms that it is joining AMD and describes its previous technical collaboration on training and inference on AMD GPUs.
- Reuters – Independently confirms the deal’s value and all-stock structure and provides context on AMD’s AI systems strategy.
Verified and updated: 09/29/2026 06:25
