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AMD spends $8.2 billion to develop space artificial intelligence – the company acquires Dr. Fei-Fei Li’s startup World Labs

Olivia Bennett by Olivia Bennett
September 28, 2026
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AMD spends .2 billion to develop space artificial intelligence – the company acquires Dr. Fei-Fei Li’s startup World Labs
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AMD announced that it has reached a definitive agreement to acquire World Labs, a research laboratory specializing in space artificial intelligence models and led by Dr. Fei-Fei Li, a pioneer in the field.

    Image source: AMD

Image source: AMD

AMD said the acquisition will add a world-class team of researchers and experts and enhance the company’s ability to develop hardware, software and artificial intelligence systems focused on the latest design and application requirements.

As the AI ​​field expands into areas such as reasoning, robotics, simulation, and physical AI, the demand for computing infrastructure becomes increasingly diverse. AMD said World Labs’ experience in developing cutting-edge designs will give it a deeper understanding of workload evolution and assist in developing future technology roadmaps. The deal furthers AMD’s strategy of building artificial intelligence infrastructure for open ecosystems.

“Creating computing platforms for the next generation of AI requires a deep understanding of how models evolve. Feifei and the World Labs team have outstanding research experience and deep model knowledge. Together, we can leverage this knowledge to develop the hardware, software and systems that will power the next generation of AI and strengthen the open AI ecosystem.”“”, AMD Chairman and CEO Su Zifeng commented on the results of this transaction.

“The development of next-generation artificial intelligence technologies requires close collaboration in the areas of model research, system architecture and computing technology. Joining AMD will provide our team with the necessary resources and engineering capabilities to accelerate research and help define the infrastructure needed for the new era of artificial intelligence.”” said Dr. Fei-Fei Li, co-founder and CEO of World Labs.

Headquartered in San Francisco, World Labs develops spatial intelligence models that generate, reconstruct and simulate interactive 3D environments based on text, graphics and video data, as well as robot training and simulation technology.

AMD’s press release stated that after the transaction is completed, the World Labs team will continue to conduct research in the field of AI models, and Dr. Li Feifei will go to AMD as executive vice president and chief scientific officer, reporting directly to Lisa Su.

The transaction, which will be paid entirely in stock and is valued at approximately $8.2 billion, is expected to close by the end of 2026, subject to regulatory approvals and other typical transaction conditions.

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