# Synopsys signs $1B+ AI deals with Amazon and OpenAI

Digest AI · Business & Funding · published 2026-10-01T09:31:00Z

Canonical: https://digestai.news/story/synopsys-signs-1b-ai-deals-with-amazon-and-openai

## Summary

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.

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.

## 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**

## Why it matters

Synopsys’ AI deals signal growing demand for chip design automation, a critical bottleneck for AI hardware scaling. The $1B+ Amazon contract alone underscores how AI is reshaping semiconductor innovation.

## Sources

1. [Synopsys Stock Rallies After AI Deals With OpenAI and Amazon](https://investopedia.com/market-update-synopsys-stock-rallies-after-ai-deals-with-openai-and-amazon-12151621) (investopedia.com, 2026-10-01)

Part of the developing story: [The Billion Dollar AI Infrastructure Race](https://digestai.news/thread/ackman-cuts-amazon-boosts-microsoft-and-meta-stakes) (4 stories)

## Cite

Digest AI, "Synopsys signs $1B+ AI deals with Amazon and OpenAI", 1 October 2026, https://digestai.news/story/synopsys-signs-1b-ai-deals-with-amazon-and-openai

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