AMD expands collaboration with Cohere to run AI models on Instinct GPUs

SANTA CLARA, Calif. - AMD (NASDAQ:AMD), a prominent player in the Semiconductors industry with a market capitalization of $261 billion, announced Wednesday an expanded collaboration with Cohere that will allow Cohere customers to run the company’s AI models, including North and Command A series, on AMD Instinct GPU-powered infrastructure. According to InvestingPro data, AMD has demonstrated strong growth with revenue increasing 27% over the last twelve months.

As part of the expanded partnership, AMD will also integrate Cohere’s North platform into its internal enterprise AI portfolio for the company’s internal and engineering AI workloads.

The collaboration aims to provide enterprise and sovereign AI initiatives with more infrastructure options to meet performance and total cost of ownership goals. AMD’s Instinct GPUs offer memory bandwidth and capacity needed for long-context reasoning and complex workloads.

"Cohere’s full-stack AI solutions are now deployable on AMD Instinct infrastructure, empowering organizations and governments to scale AI with exceptional performance, efficiency, and memory capacity," said Vamsi Boppana, senior vice president of AI at AMD.

The announcement builds on previous optimization work between the companies, which was highlighted at AMD’s Advancing AI 2025 event. According to the companies, Cohere models powered by AMD are already deployed across enterprises, reducing deployment footprint and lowering costs.

Nick Frosst, co-founder of Cohere, noted that the partnership gives customers "significantly greater flexibility in how they choose to deploy Cohere’s AI," adding that AMD "has a compelling TCO proposition with its AI infrastructure and is a great option for sovereign AI initiatives in Canada and globally."

The companies emphasized that Cohere’s focus on secure and private AI models, combined with AMD’s high-performance AI infrastructure, enables sovereign AI deployments that respect national data, security, and compliance requirements.

This announcement was based on a press release statement from AMD. With 18 analysts recently revising earnings estimates upward and net income expected to grow this year, AMD’s AI initiatives appear well-positioned for future growth. For detailed analysis and additional insights, including 15 more exclusive ProTips, check out AMD’s comprehensive research report on InvestingPro.

In other recent news, Elon Musk’s artificial intelligence company, xAI, has raised $10 billion in new funding, pushing its valuation to $200 billion, according to sources cited by CNBC. Nvidia has also been in the spotlight after forming a strategic partnership with Intel, which involves Nvidia taking a 4.9% stake in Intel through a $5 billion investment. This collaboration will see Intel develop custom x86 CPUs for Nvidia’s AI infrastructure, while Nvidia integrates its NVLink technology into the CPU-GPU platform. In light of this partnership, William Blair has reiterated an Outperform rating on Nvidia, and DA Davidson has maintained its Buy rating with a $210.00 price target.

Meanwhile, AMD has received a boost from Piper Sandler, which reiterated its Overweight rating and set a $190.00 price target, citing optimism about AMD’s GPU business prospects through 2026. These developments highlight significant movements in the tech industry, with major companies like Nvidia, Intel, and AMD making strategic decisions that could shape their futures. Investors are closely watching these companies as they navigate new partnerships and growth opportunities.

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