A AMD announced its second-quarter 2024 earnings, and the results were so exciting that the company will be dedicated to AIjust like the NVIDIA.
The highlight of the report that caused AMD to rethink its market focus is its data center product sales, which accounted for nearly half of the company’s output.
AMD will also be an AI company
Forget chips for PCs, consoles or any other segment, because AMD wants to deliver AI to data centers – after all, the profits have been spectacular.
Last year, the company doubled its profits from the data center, and the growth in the first half of 2024 was mainly due to the AMD Instinct MI300 chip, a direct rival to NVIDIA’s H100 AI chip. According to Lisa Su, AMD’s CEO, revenue in the first three months driven by the chip was US$ 1 billion in sales – Epyc server CPUs also contributed to this extraordinary number.
With all this AI boom and stratospheric profits, AMD will follow NVIDIA’s path and intends to invest heavily in the artificial intelligence segment. And also like NVIDIA, which will deliver a new AI chip every year, AMD intends to follow this strategy. Still in the fourth quarter of 2024 the new MI325X chip will be launched, the MI350 chip in 2025 and for 2026 the MI400 chip.
Despite AMD’s growth in the AI ​​space since last year, NVIDIA continues to race ahead in this race, with a wide lead over its competitor. AMD’s $2.8 billion in revenue in one quarter pales in comparison to NVIDIA’s $22.6 billion in revenue in the same period.
For gamers, at least for now, there doesn’t seem to be much to worry about. The company’s CPU and GPU sales have also seen growth, with Ryzen processors up 49% quarter-over-quarter and the Radeon 6000 GPU line also seeing strong sales, while console gaming, such as PlayStation and Xbox, has seen a 59% drop in sales.
The profit and development of new AI technologies can leverage the entire company, with other segments – not just data center chips – benefiting. In other words, we can expect that even with the focus on AI, AMD will not leave aside its CPUs and GPUs for personal computers – although it believes that where there could be improvements and fixes it may remain stationary.
VIA: Wccftech
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Source: https://www.adrenaline.com.br/noticias/amd-esta-se-tornando-uma-empresa-de-ia-assim-como-a-nvidia/
