AMD acquires World Labs for $8.2 billion in AI push

AMD has reached a definitive agreement to acquire World Labs, led by Dr. Fei-Fei Li. The transaction is expected to close by the end of 2026.

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US-based semiconductor company AMD has agreed to acquire the AI model and research laboratory World Labs in a deal valued at approximately $8.2 billion.

In a statement, AMD announced that a definitive agreement has been reached for World Labs, which is led by Dr. Fei-Fei Li, one of the leading figures in the field of artificial intelligence. With the acquisition, World Labs' team of researchers and model experts from around the world will join AMD.

The transaction, which will be conducted entirely in stock, is expected to close by the end of 2026, subject to regulatory approvals and other customary closing conditions.

The company stated that this move will strengthen its hardware, software, and system development capacity to meet the needs of evolving AI models and applications. According to AMD, the expansion of artificial intelligence into areas such as reasoning, robotics, simulation, and physical AI is also diversifying the needs for computing infrastructure.

San Francisco-based World Labs develops spatial intelligence models that create, reconstruct, and simulate interactive 3D environments from text, image, and video inputs. The company also conducts research on robotic learning and simulation technologies.