GlobalFoundries extends agreement with AMD to provide $ 2.1 billion in chips by 2025
MALTA – Semiconductor manufacturer GlobalFoundries has amended its agreement with Advanced Micro Devices (AMD) to supply the company with more chips.
The revised agreement not only increased the number of chips AMD receives but also extended the terms to secure AMD’s wafer stock by 2025, worth about $ 2.1 billion, according to a news release.
GlobalFoundries chips will serve as AMD’s data center, personal computers and embedded and growth markets. The companies have worked together for 12 years.
“We have been working closely with our customers for over a year to help address the continuing imbalance between supply and demand in our industry,” said GlobalFoundries Chief Executive Tom Caulfield.
“Our amended agreement with AMD is a prime example of our customers’ desire and willingness to ensure long-term supply, ”he added.
GlobalFoundries has experienced growing demand for its product this year.
“Global demand for semiconductors is growing at an unprecedented rate, and GF is responding to this growth through a series of long-term strategic agreements with existing and new customers and simultaneously expanding global capacity to meets customer demand, “the statement said.
The manufacturer entered into several long-term agreements with companies including the BMW Group and Ford while going to the stock market stage and making a profit as well.