AMD-World Labs Deal Shows Silicon Valley's Robotics Appetite -- Market Talk

1721 ET - AMD's $8.2 billion acquisition of World Labs, a developer of spatially intelligent AI models, speaks to Silicon Valley's growing interest in robotics and applying AI to the physical world. Nvidia is making specialized chips for physical AI and has projected that its physical AI revenue will grow tenfold over the next decade. Elon Musk's Tesla is hard at work developing a fleet of humanoid Optimus robots. And Amazon, which is already among the world's biggest makers of robots, has said it plans to build two new robotics hubs in Indiana and Texas. "As AI expands into reasoning, robotics, simulation and physical AI, the demands on compute infrastructure become more diverse," AMD says in its announcement of the World Labs deal. (elias.schisgall@wsj.com)

(END) Dow Jones Newswires

September 28, 2026 17:21 ET (21:21 GMT)