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FundingSep 29, 2026, 14:27 UTC

AMD buys World Labs for spatial AI models

The 8.2B USD all-stock deal brings Fei-Fei Li and a frontier model team inside AMD as it tries to shape AI hardware around physical-world workloads.

AMD agreed to acquire World Labs, the spatial-intelligence startup led by Fei-Fei Li, in an all-stock transaction valued at about 8.2B USD. The deal is expected to close by the end of the year, subject to regulatory approval and customary conditions.

World Labs develops models that generate, reconstruct and simulate interactive 3D environments from text, image and video inputs. AMD says that expertise will help it understand how AI workloads are evolving in robotics, simulation and physical AI, then shape future hardware, software and systems around those workloads.

The move is a bigger bet than a normal talent acquisition. Li, known for ImageNet and her work in computer vision, will join AMD as executive vice president and chief scientist, reporting to CEO Lisa Su. World Labs’ team will continue model research inside AMD.

Why it matters: AMD is trying to compete with Nvidia not only on accelerators, but on the model-and-software ecosystem around them. Buying a frontier spatial AI lab gives AMD a direct research path into the kinds of workloads that could matter for robots, autonomous systems, synthetic data and 3D content creation.

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ai-infrastructureamdroboticsspatial-intelligenceworld-labs