Synopsys signs $1B+ AI deals with Amazon and OpenAI
Synopsys reported a 10% stock surge after announcing two AI-focused deals. The company struck a multi-year, over-$1 billion chip development agreement with Amazon to accelerate custom silicon and AI-powered cloud products. Separately, Synopsys will collaborate with OpenAI to develop an AI model for chip design tasks, with both firms sharing licensing revenue from third-party sales.
Key points
- Synopsys signed a **$1B+** multi-year chip deal with Amazon for AI-driven custom silicon
- OpenAI partnership focuses on an AI model for chip design, with shared licensing revenue
- Synopsys raised fiscal 2027 revenue guidance to **$11.1B–$11.2B** from **$9.69B–$9.74B**
Synopsys also raised its fiscal 2027 revenue forecast to $11.1B–$11.2B (up from $9.69B–$9.74B for 2026) and adjusted EPS of $19.04–$19.12. The moves follow the company’s annual investor day, where it highlighted AI as a growth driver. Shares remain below their May peak but have rebounded into positive territory for 2026.
The story so far
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Synopsys Stock Rallies After AI Deals With OpenAI and Amazon
investopedia.com · 1 October 2026:max_bytes(150000):strip_icc()/GettyImages-2267596859-aae162041081422e88a507a2b60708e8.jpg)
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