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AMD Acquires World Labs for $8.2 Billion, Fei-Fei Li Joins as Chief Scientist

🔄 Updated 2d ago — new reporting from Tom's Hardware
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Key points

  • AMD acquired World Labs for $8.2 billion in an all-stock deal.
  • Dr. Fei-Fei Li, World Labs founder, joins AMD as EVP and Chief Scientist.
  • World Labs develops deep learning models for physical reality and 3D environments.
  • The acquisition aims to integrate AI software, hardware, and foundation models.
  • AMD and World Labs had a prior partnership on GPU optimization.
  • World Labs launched in 2024.
  • World Labs was valued at $1 billion within months of launch.
  • World Labs launched its first commercial product, Marble, in 2025.
  • Marble is a world generation model creating interactive 3D worlds from prompts.
  • Dr. Fei-Fei Li will report to AMD CEO Lisa Su.
  • The deal is expected to close by the end of the year.
  • World Labs was founded by Fei-Fei Li, Justin Johnson, Christoph Lassner, and Ben Mildenhall.
  • World Labs received $230 million in funding.
  • Marble generates 3D spaces using Gaussian splats.
  • Marble exports 3D assets for film production and game development.
  • World Labs introduced Atlas, another model/tool.
  • Fei-Fei Li led the ImageNet project.
  • Fei-Fei Li was chief scientist of AI/ML at Google Cloud.
  • Fei-Fei Li was director of the Stanford Artificial Intelligence Laboratory.

AMD Acquires World Labs

AMD announced the acquisition of World Labs, an AI lab founded in 2024 by Dr. Fei-Fei Li, for approximately $8.2 billion. The transaction was an all-stock deal. World Labs specializes in developing deep learning models designed to understand physical reality and simulate 3D environments, often referred to as 'world models'.

Fei-Fei Li Joins AMD Leadership

As part of the acquisition, Dr. Fei-Fei Li will join AMD as an Executive Vice President and Chief Scientist. She will work directly with AMD CEO Dr. Lisa Su. Justin Johnson and Ben Mildenhall will continue to lead the World Labs team, which will form a frontier research organization within AMD. Dr. Li is recognized for her pioneering work in AI, particularly computer vision, including the creation of the ImageNet database.

Dr. Li's previous roles include a professorship at Stanford and leadership in AI research at Google. She founded World Labs with the goal of developing models with a robust understanding of the physical world, emphasizing that general intelligence requires grounding in physics and the ability to reason about data beyond text.

Strategic Integration of AI Ecosystem

The acquisition aims to integrate World Labs' AI ecosystem, encompassing software, hardware, foundation models, and applications, into AMD. World Labs stated that accelerating AI development requires scaling efforts and getting closer to the hardware. AMD believes that understanding frontier workloads, such as those developed by World Labs, will inform its chip-making roadmap.

AMD and World Labs had an existing technical partnership, which began last year with model training and inference optimization on AMD GPUs. This collaboration led to the decision to bring the teams together to build an end-to-end open AI ecosystem spanning hardware, software, platforms, and accessible open models.

Impact on AI Chip Development

The integration of World Labs' expertise is expected to align AMD's AI chip development with future AI model requirements. World Labs' models, such as 'Marble', can create three-dimensional scenes from images. Dr. Li has highlighted the potential for intelligent agents like robots and vehicles to learn in physics-aware digital worlds before real-world deployment, enhancing safety.

Updates

🕒 2026-09-30 · new reporting from Tom's Hardware
  • Fei-Fei Li led the ImageNet project.
  • Fei-Fei Li was chief scientist of AI/ML at Google Cloud.
  • Fei-Fei Li was director of the Stanford Artificial Intelligence Laboratory.
🕒 2026-09-30 · new reporting from Ars Technica
  • World Labs was founded by Fei-Fei Li, Justin Johnson, Christoph Lassner, and Ben Mildenhall.
  • World Labs received $230 million in funding.
  • Marble generates 3D spaces using Gaussian splats.
  • Marble exports 3D assets for film production and game development.
  • World Labs introduced Atlas, another model/tool.
🕒 2026-09-29 · new reporting from The Verge
  • World Labs launched in 2024.
  • World Labs was valued at $1 billion within months of launch.
  • World Labs launched its first commercial product, Marble, in 2025.
  • Marble is a world generation model creating interactive 3D worlds from prompts.
  • Dr. Fei-Fei Li will report to AMD CEO Lisa Su.
  • The deal is expected to close by the end of the year.

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How outlets covered it

AMD acquired AI model research firm World Labs for $8.2 billion in an all-stock deal, bringing World Labs co-founder Fei-Fei Li to AMD as EVP and chief scientist. This acquisition aims to integrate advanced AI model development, particularly in spatial intelligence, directly into AMD's hardware and software ecosystem, influencing future technology roadmaps.

AMD is acquiring AI startup World Labs for $8.2 billion, pending regulatory approval. This acquisition aims to strengthen AMD's position in world models and synthetic data generation, areas where competitor Nvidia currently holds a strong lead.

AMD is acquiring World Labs, an AI research lab co-founded by Dr. Fei-Fei Li, in an all-stock deal valued at approximately $8.2 billion. This acquisition aims to strengthen AMD's capabilities in developing AI hardware, software, and systems by integrating World Labs' AI model research and expertise.

AMD acquired World Labs, an AI firm specializing in world models for simulating 3D environments, for $8.2 billion in an all-stock transaction. This acquisition brings AI pioneer Fei-Fei Li to AMD as Chief Scientist and Executive Vice President, allowing AMD to align its AI chip development with future AI model requirements.

AMD is acquiring World Labs, a deep learning model developer, for $8.2 billion. This acquisition aims to integrate World Labs' expertise in understanding physical reality into AMD's chip-making roadmap, enhancing its competitiveness in the AI hardware ecosystem.

World Labs has signed an agreement to join AMD, integrating its AI ecosystem of software, hardware, foundation models, and applications. Dr. Fei-Fei Li will join AMD as Executive Vice President and Chief Scientist, working with CEO Dr. Lisa Su, to accelerate AI development closer to hardware.