AMD designs processors, graphics chips and AI accelerators for computer makers, cloud operators and businesses that build electronic devices. Its Ryzen processors power personal computers, while EPYC processors handle work in data centers and Radeon chips render graphics. Instinct accelerators run AI models, paired with software that developers use to train models and put them into production. AMD sells chips and related computing systems through equipment makers, distributors and retail channels, and contracts with outside foundries to fabricate its semiconductor designs. It was founded in 1969 and has its headquarters in Santa Clara, California.
Company Size
10,001+
Company Stage
IPO
Headquarters
Santa Clara, California
Founded
1969
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Advanced Micro Devices faces a supply crunch as demand for its chips exceeds production capacity. CEO Lisa Su told reporters in Taipei on 6 October that the company plans to substantially increase supply in 2027. AMD's shares closed at a record $649.42 that day, valuing the chipmaker at over $1 trillion. Su said server CPU supply has been tight in the first half of the year due to unforecasted demand. AMD's unconditional commitments, mostly for wafers and components, grew 150% over six months to $30.3 billion by late June, nearly matching its total 2025 revenue of $34.6 billion. The company's data centre segment grew 107% year over year in the second quarter of 2026, reaching $6.7 billion. Management expects data centre revenue to more than double in 2027.
Advanced Micro Devices and Palantir Technologies could surpass Broadcom's $1.7 trillion valuation within five years, according to investment analysis. AMD recently crossed $1 trillion in market value and would need roughly 70% growth over five years to match Broadcom. The company secured a deal with OpenAI covering 6 gigawatts of GPU capacity, expected to generate tens of billions of dollars in revenue. The first gigawatt of AMD's MI450 chips will roll out in the second half of 2026. Palantir, currently valued at $455 billion, represents a bolder bet requiring a fourfold increase. The company reported 93% revenue growth year-over-year last quarter, with US commercial revenue up 149%. It closed $2.1 billion in new US commercial contract value in one quarter, up 271% from the previous year.
Worldwide spending on artificial intelligence is forecast to reach $2.59 trillion in 2026, up 47% from $1.76 trillion in 2025, according to Gartner. AI infrastructure accounts for $1.43 trillion this year, over 45% of total AI spending. The largest cloud and internet platforms are now committing more than $100 billion annually each to capital expenditures. Technology stocks have led the market, with the Nasdaq Composite up roughly 17% so far in 2026. Microsoft reported fiscal 2026 fourth quarter revenue of $90 billion, up 18%. Meta reported second quarter 2026 revenue of $60.80 billion, up 28% year over year. Broadcom reported third quarter fiscal 2026 revenue of $29.6 billion, up 86% year over year.
AMD CEO Lisa Su visited South Korea to strengthen semiconductor supply chain partnerships and expand the company's artificial intelligence presence in the region. Su met with SK Hynix CEO Kwak Noh-jung and Samsung Electronics DS Division chief Jun Young-hyun to discuss high-bandwidth memory collaboration, a critical component for AI accelerators. Su also engaged with 13 local AI startups to promote integration into AMD's ROCm software platform, which aims to challenge Nvidia's market dominance. AMD outlined plans to establish an AI Centre of Excellence in South Korea, which will employ hundreds of local researchers. The initiative follows a memorandum of understanding signed with the country's science ministry in July.
AMD plans to substantially increase AI chip supply in 2027 to meet surging demand, CEO Lisa Su said Tuesday in Taipei. The company is extending its planning window with partners from one to two years to three to five years to coordinate supply chain capacity. Su met with Acer, Asus, Foxconn, Quanta, and TSMC during her third Taiwan visit this year, focusing on expanding capacity for CPUs, GPUs, and AI computing products. AMD is raising its investment in Taiwan's supply chain beyond the $10 billion commitment announced in May, though Su did not specify the new figure. Memory supply remains constrained across the market, Su said. She planned talks with Samsung and SK Hynix in South Korea to address memory needs for AI servers and conventional computing. AMD confirmed its Helios AI platform entered shipments on schedule in Q3, with volumes set to grow.