AMD is acquiring AI company World Labs in a deal worth more than $8 billion
Summary
AMD announced it is acquiring World Labs, an AI research lab co-founded by prominent researcher Dr. Fei-Fei Li, in an all-stock deal worth approximately $8.2 billion. World Labs launched in 2024, was valued at $1 billion within months, and in 2025 released its first commercial product, Marble, a world generation model that creates interactive 3D worlds from a prompt. The deal is expected to close by the end of the year. Li will become EVP and chief scientist at AMD, reporting to CEO Lisa Su, while the World Labs team will continue focusing on AI model research. Su stated that the acquisition will strengthen AMD's ability to develop AI hardware, software, and systems around emerging model and application needs. This is one of several major AI acquisitions recently, following Nvidia's announcement of a nearly $13 billion acquisition of Hugging Face.
(Source:The Verge)