HardwareProcessorsAMD sells $1 billion worth of AI chips and CPU sales are up but its gaming graphics continues to struggleWhen you purchase through links on our site, we may earn an affiliate commission.Here’s how it works.
HardwareProcessorsAMD sells $1 billion worth of AI chips and CPU sales are up but its gaming graphics continues to struggleWhen you purchase through links on our site, we may earn an affiliate commission.Here’s how it works.
When you purchase through links on our site, we may earn an affiliate commission.Here’s how it works.
(Image credit: AMD)
Sales of AMD’s new AI chips are going gangbusters. Well, relatively speaking. AMD’s latest results for the second quarter of this year showed that the company flogged roughly $1 billion’s worth of its Instinct MI300 AI GPUs in the quarter, up from pretty much zero for the same class of hardware a year ago.
Overall, AMD’s revenues wereup 9% to $5.8 billioncompared to the same period last year. Of course, the relative bit arrives when you compare all that with Nvidia’s AI GPU sales, which came in at roughly $20 billion for the first quarter of 2024. So, AMD has done well to get a foothold in the mega-profitable AI GPU market. But it’s still miles behind Nvidia.
On a related note, AMD’s CEO Lisa Su indicated the company is essentially selling as many Instinct MI300 AI GPUs as it can make. “The overall supply chain is tight and will remain tight through 2025, " Su said of the Instinct MI300 (viaSeeking Alpha).
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Overall, Gaming currently represents just over 10% of AMD’s revenues and falling. Indeed, Lisa Su predicted further double-digit percentage falls for the Gaming division for next quarter.
Your next machine(Image credit: Future)Best gaming PC: The top pre-built machines.Best gaming laptop: Great devices for mobile gaming.
Your next machine
(Image credit: Future)Best gaming PC: The top pre-built machines.Best gaming laptop: Great devices for mobile gaming.
(Image credit: Future)
Best gaming PC: The top pre-built machines.Best gaming laptop: Great devices for mobile gaming.
Moreover, Su didn’t have much to say about those gaming products during the earnings call for investors covering AMD’s latest results. There were no upbeat promises of new Gaming products that would begin to turn things around. All of which makes for a mixed feeling for PC gamers.
AMD generally is doing well and surely has plenty of resources to invest in future chips. Hooray. But it still doesn’t seem to be able to turn around its struggling graphics division. Haroo.
We really, really would love to see AMD putting more pressure on Nvidia when it comes to graphics cards. So, here’s hoping AMD is fully keeping faith with its Gaming division despite these latest results.
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