AMD agrees $8.2 billion stock deal for spatial-AI developer World Labs

AMD ($AMD) has signed a definitive agreement to acquire World Labs in an all-stock transaction valued at approximately $8.2 billion. The San Francisco research company develops models that generate and simulate three-dimensional environments from text, images and video, alongside technology for robotic learning. Its co-founder Fei-Fei Li would become AMD’s executive vice president and chief scientist, reporting to Lisa Su after completion.

The purchase would give AMD in-house model research to inform the design of AI chips, software and complete computing systems as demand expands into robotics and simulation. It also commits substantial equity consideration rather than cash. Completion is expected before the end of 2026, but remains subject to regulatory approvals and customary conditions; World Labs has not yet been acquired.

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