AMD’s data center business is booming while gaming takes a backseat
TL;DR
Driven by demand for AI capacity, AMD's data center revenue more than doubled year-over-year in its latest earnings report, reaching $6.7 billion. That's up from $5.8 billion in Q1, and jumping 107 percent from the $3.2 billion it reported for the same period a year ago. During Tuesday's earnings call, AMD CEO Lisa Su said the company expects "data center segment revenue to more than double year-over-year in 2027," as well.
Nauti's Take
Good news for AI teams: a second serious supplier next to Nvidia improves the chance of affordable compute. The catch shows up in gaming, where price jumps and component shortages prove how strongly the AI boom crowds out other products.
Anyone planning hardware should put AMD on the shortlist and budget for consumer prices that keep climbing.
Sources