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Here are 1-3 brief analogies for Advanced Micro Devices (AMD):

• The Intel rival for computer processors.
• The Nvidia rival for graphics and AI chips.

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• Central Processing Units (CPUs): Microprocessors that serve as the primary computational component for a wide range of devices from personal computers to data center servers.
• Graphics Processing Units (GPUs): Specialized processors designed for rendering graphics, accelerating gaming, and performing complex parallel computations for AI and professional applications.
• Accelerated Processing Units (APUs): Single-chip solutions integrating both a CPU and a GPU, providing balanced performance and efficiency for mainstream computing and embedded systems.
• Adaptive SoCs and FPGAs: Highly configurable semiconductor devices used across various markets for their flexibility in handling diverse and evolving workloads.
• Semi-Custom Solutions: Tailored system-on-chip designs developed in partnership with clients for specific high-volume applications, such as gaming consoles.

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Major Suppliers for Advanced Micro Devices (AMD):

• Taiwan Semiconductor Manufacturing Company (Symbol: TSM)
• ASE Technology Holding Co., Ltd. (Symbol: ASX)

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Dr. Lisa Su, Chair and Chief Executive Officer

Dr. Lisa Su has served as AMD's CEO since October 2014 and became Chair in February 2022. She is widely recognized for orchestrating a significant turnaround at AMD, transforming it into a leader in high-performance and adaptive computing. Before joining AMD in 2012, Dr. Su held senior leadership roles at Freescale Semiconductor, Inc., including Senior Vice President and General Manager of Networking and Multimedia. Her career also includes 13 years at IBM, where she held various engineering and business leadership positions, notably as Vice President of the Semiconductor Research and Development Center, where she made contributions in silicon-on-insulator semiconductor manufacturing technologies. She also worked at Texas Instruments. Dr. Su earned her Bachelor's, Master's, and PhD degrees in electrical engineering from MIT.

Jean Hu, Executive Vice President, Chief Financial Officer and Treasurer

Jean Hu assumed the role of Executive Vice President, Chief Financial Officer, and Treasurer at AMD in January 2023, where she oversees the company's financial planning and strategy. With over two decades of financial leadership experience in the semiconductor industry, Ms. Hu previously served as CFO of Marvell Technology Group Ltd. from August 2016 to January 2023. Her prior experience includes CFO positions at Qlogic from April 2011 to August 2016 and Conexant. She holds a B.S. in chemical engineering from Beijing University of Chemical Technology and a Ph.D. in economics from Claremont Graduate University.

Victor Peng, President, Adaptive and Embedded Computing Group

Victor Peng serves as President of AMD's Adaptive and Embedded Computing group, having rejoined the company in 2022 after 14 years at Xilinx. He previously held the position of President and CEO of Xilinx, which AMD later acquired. During his tenure as CEO of Xilinx, he spearheaded a transformation to address new markets with innovative technologies, including the Adaptive Compute Acceleration Platform (ACAP). Prior to his CEO role, Mr. Peng served as COO and Executive Vice President & General Manager of Products at Xilinx. His extensive career includes executive and engineering leadership roles at TZero Technologies, MIPS Technologies, SGI, and Digital Equipment Corp., and he previously served as corporate vice president of the graphics products group silicon engineering at AMD.

Rick Bergman, Executive Vice President, Computing and Graphics

Rick Bergman is AMD's Executive Vice President of Computing and Graphics, responsible for the company's high-performance PC, gaming, and semi-custom businesses, and for integrating AMD's CPUs, GPUs, and software into differentiated solutions. He rejoined AMD in 2019. Before his current role, Mr. Bergman was President and CEO of Synaptics from October 2011 to March 2019, where he was credited with tripling revenue and guiding the company into new markets through strategic acquisitions. He also held senior executive positions at AMD and ATI, including senior vice president and general manager of AMD's Product Group and Graphics Product Group. Earlier in his career, he held leadership roles at S3 Graphics, Texas Instruments, and IBM.

Phil Guido, Executive Vice President, Chief Commercial Officer

Phil Guido serves as Advanced Micro Devices' Executive Vice President and Chief Commercial Officer.

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The key risks to Advanced Micro Devices (AMD) include:

1. Intense Competition: AMD faces fierce competition across its core markets. In the GPU and AI accelerator segments, NVIDIA holds a dominant position with an established ecosystem, posing a significant challenge to AMD's growth ambitions. In the CPU market, Intel remains a formidable competitor with vast resources and an entrenched market presence. Furthermore, major technology companies like Microsoft, Amazon, Meta, and Google are increasingly developing their own custom AI chips, which could limit AMD's market opportunities in the long term. The emergence of ARM-based designs in servers and PCs also adds to the competitive pressure.
2. Regulatory and Supply Chain Risks: AMD is subject to regulatory headwinds, particularly from U.S. export restrictions on advanced AI chip shipments to China, which have led to substantial revenue impacts and limited market access for products like the MI308 chip. Additionally, the company faces operational risks from potential supply chain disruptions, such as semiconductor manufacturing bottlenecks and cybersecurity threats to chip fabrication plants. The threat of new U.S. tariffs on semiconductor imports could further impact profitability.
3. Valuation Concerns and Customer Concentration: AMD's stock currently trades at a premium valuation, with high P/E and EV/EBITDA ratios compared to some competitors, raising skepticism among analysts about whether its aggressive growth projections can consistently justify its current market capitalization. The semiconductor sector's inherent volatility, often driven by speculation related to AI, can lead to periodic market sell-offs. Moreover, AMD's revenue is heavily dependent on a few hyperscale cloud providers, meaning a shift in these major customers' preferences or a reduction in their orders could significantly destabilize AMD's growth and financial performance.

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Increased adoption of ARM-based processors in the client PC market. Qualcomm's recent launch of Snapdragon X Elite and X Plus processors, strongly supported by Microsoft's "Copilot+ PC" initiative and adopted by major PC OEMs (Dell, HP, Lenovo, Samsung, etc.), directly competes with AMD's Ryzen processors in the laptop segment, aiming to offer superior AI performance and battery life. This builds upon the success seen with Apple's transition to Apple Silicon, demonstrating the viability and performance potential of ARM architecture in personal computing.

Growing development and deployment of custom ARM-based server CPUs by hyperscale cloud service providers (CSPs). Major cloud providers like Amazon Web Services (AWS Graviton), Google Cloud (Google Axion), and Microsoft Azure (Microsoft Cobalt) are increasingly designing and deploying their own ARM-based server processors to power their data centers. These custom chips offer CSPs optimized performance, better cost efficiency, and greater control over their infrastructure, reducing their reliance on traditional x86 server CPU suppliers like AMD and limiting AMD's growth opportunities in the crucial data center market.

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Advanced Micro Devices (AMD) operates in several significant addressable markets for its main products and services globally.

• Overall Total Addressable Market (TAM): AMD estimated its total addressable market opportunity to be $300 billion as of June 2022. This represented a substantial increase from its market view two years prior, indicating a strategic shift and expansion into new areas.
• Data Center AI Chips / AI Compute Silicon: This is a rapidly expanding market for AMD.
  • AMD management projected the addressable market for data center AI chips to reach $400 billion globally by 2027.
  • Some analysts estimate the AI data center TAM could grow to $500 billion globally by 2028.
  • AMD's CEO Lisa Su has indicated that the total addressable market for AI silicon has surpassed previous projections and is now considered a larger opportunity than the $500 billion estimate.
• Server CPU Market: The global server CPU market is estimated at $50 billion.
• Embedded Computing Market: The global embedded computing market is projected to be valued at $120.00 billion in 2025 and is expected to grow to $189.06 billion by 2032.

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1. Data Center AI Accelerators: AMD's Instinct MI300, MI350, and upcoming MI400 series GPUs are expected to be a primary catalyst for revenue growth. The data center segment has already seen record revenue driven by strong demand for Instinct MI350 series GPUs. Management anticipates continued growth from the ramp of MI350 GPUs and the future launch of the MI400 series and Helios rack-scale solutions, targeting large-scale AI and supercomputing deployments. Strategic partnerships, notably with OpenAI and Oracle, are projected to significantly boost AMD's AI business, with the MI450 facilities expected to come online in 2026 and generate long-term revenue streams. Analysts have consequently raised their forecasts for AMD's data center revenue and overall growth outlook for 2026–2028. The MI355 GPUs are slated for a ramp in the first half of 2026, followed by the MI450 series in the second half, which will further accelerate AMD's data center AI business.

2. EPYC Server CPUs: The strong demand and increasing adoption of AMD's EPYC server CPUs, particularly the 5th generation EPYC processors and EPYC Turin, are significant revenue drivers. The 5th Gen EPYC Turin processors accounted for nearly half of the overall EPYC revenue in the third quarter of 2025. Hyperscale clients are forecasting substantial CPU builds into 2026, indicating a robust demand environment for general-purpose compute that is increasingly influenced by AI workloads. Looking ahead, the 6th-generation EPYC CPUs, codenamed Venice, produced on TSMC's 2nm manufacturing process, are also expected to launch in 2026 and integrate into the Helios rack-scale platform, further bolstering this segment.

3. Client (PC) Segment Growth: The client computing segment, driven by AMD's Ryzen processors, is contributing to revenue expansion. The segment has shown strong performance, with significant revenue increases attributed to record sales of Ryzen processors and robust demand for its Zen 5 Ryzen CPUs. AMD is also reportedly gaining market share from a key rival in the PC market, which is expected to support continued growth.

4. Gaming Segment: The gaming division is another anticipated driver of revenue growth, propelled by strong demand for Radeon gaming GPUs and semi-custom game console SoCs. Despite some short-term guidance indicating potential sequential declines in the gaming segment for Q4 2025, the overall performance of this sector has been encouraging, reflecting healthy market demand for AMD's gaming solutions.

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Share Repurchases

• In May 2021, Advanced Micro Devices (AMD) announced a $4 billion share repurchase program.
• This was followed by a new $8 billion authorization in February 2022, bringing the total authorized for repurchases to $12 billion, with approximately $3 billion already completed under the previous program.
• In May 2025, AMD approved a new $6 billion share repurchase program, increasing its total current repurchase authority to approximately $10 billion when combined with the remaining balance from the existing program as of March 29, 2025.

Share Issuance

• The acquisition of Xilinx, completed in February 2022, was an all-stock transaction where Xilinx stockholders received 1.7234 shares of AMD common stock for each Xilinx share, expanding AMD's share base by approximately 422 million new shares.
• The value of the Xilinx acquisition was initially stated as $35 billion, but due to rising stock prices, it was approximately $49 billion at the time of completion.

Inbound Investments

• In 2023, AMD formed a strategic partnership with OpenAI, which is projected to contribute $4.5 billion in revenue by 2026 through the supply of AI chips.
• AMD announced a $10 billion collaboration with Humain in May 2025 to deploy 500 megawatts of AI hardware infrastructure over five years.
• AMD has received significant investments in AI hardware from entities such as the US Department of Energy.

Outbound Investments

• AMD completed its acquisition of Xilinx in February 2022 in an all-stock transaction valued at approximately $49 billion, enhancing its position in programmable logic devices and data centers.
• In April 2022, AMD acquired Pensando Systems for approximately $1.9 billion.
• AMD acquired ZT Systems in March 2025 for $4.9 billion in a cash and stock deal to bolster its presence in the data center AI market.

Capital Expenditures

• AMD's capital expenditures averaged $445.4 million annually from fiscal years 2020 to 2024.
• Capital expenditures increased from $294 million in 2020 to $636 million in 2024. The latest twelve months ending June 2025 saw capital expenditures reach $834 million.
• Planned capital expenditures for the third quarter of 2025 were approximately $220 million, aimed at supporting innovation and maintaining technological leadership.