Advanced Microdevices, Inc (NASDAQ:AMD) claims it has a 33% share of the server CPU market as it prepares to launch its next-generation “Turin” processors and unveils a GPU roadmap following the MI300 product line , reports the Register.
During the JP Morgan Global Technology, Media, and Communications ConferenceJean Hu, AMD’s CFO, highlighted the company’s growth in servers, CPUs and GPUs. The stock is trading higher on Tuesday.
She noted AMD’s partnerships, such as with Microsoft Corp (NASDAQ:MSFT) for virtual machine instances with AMD MI300X GPUs in the Azure cloud, and AMD’s success in achieving strong double-digit growth in server CPUs and desktop/laptop segments.
Also read: Supermicro and AMD introduce multi-node servers to improve cloud computing
Hu emphasized that AMD’s strategic focus on energy efficiency and cost-effectiveness makes it an attractive choice for companies facing power and space constraints. Notable customers love American Express Co (NYSE:AXP), Shell Plc (NYSE:SHEL), and STMicroelectronics NV (NYSE:STM) are making the transition to an AMD-based infrastructure.
Hu announced plans to launch a next-generation AI PC in the second half of the year, which could significantly innovate the PC market. She also mentioned the potential for AMD to re-enter the market Arm Holdings Plc (NASDAQ:ARM) market, leveraging existing capabilities and IP blocks to meet customer demands.
AMD sees long-term growth potential in the embedded processor market, primarily through synergies with Xilinx.
Hu also highlighted AMD’s robust performance in the desktop and laptop markets.
Analysts expect AMD and its peers to boost optimism in the semiconductor industry after their earnings rise as inventory levels normalize and companies move closer to consumption levels. However, analysts also warned about AMD’s MI300 supply constraints, the weakness of the gaming segment and aggressive pricing of Nvidia Corp (NASDAQ: NVDA).
AMD shares are up 33% in the past twelve months. Investors can gain exposure to the shares through Spear Alpha ETF (NASDAQ:SPRX) and Pacer Funds Pacer Data and Digital Revolution ETF (NYSE:TRFK).
Price promotions: AMD shares were trading 1.87% higher at $169.47 premarket at last check on Tuesday.
Also read: AMD unveils cost-effective EPYC 4004 series CPUs for small businesses and IT providers
Disclaimer: This content was produced in part using AI tools and was reviewed and published by Benzinga’s editorial staff.
Photo courtesy of AMD
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This article AMD Captures 33% of Server CPU Market and Prepares to Launch Major Processors: The report originally appeared on Benzinga.com
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