AMD has great hope for its new AI chip: financial experts expect billions in sales in the coming year

AMD has great hope for its new AI chip: financial experts expect billions in sales in the coming year

According to a report from www.finanzen.net, the chip company AMD plans to achieve sales of two billion US dollars next year with a newly developed chip for artificial intelligence (AI). The processor is scheduled to ship in the next few weeks and has already received significant pre-orders, particularly from cloud computing customers. In the current quarter, the new AI chip is expected to generate sales of $400 million.

However, the fourth quarter forecast was disappointing as AMD expects a decline in sales in the gaming segment. As a result, the company hopes that demand for the AI ​​chip can offset the decline in the video game segment. AMD estimates that the artificial intelligence market could grow to over $150 billion by 2027.

AMD's announcement had a positive impact on the company's stock price, which rose nearly 10 percent. Other industry stocks, particularly NVIDIA stock, also rallied on AMD's optimistic outlook. The analysts expect great potential for the AI ​​business and emphasize the partnerships with Microsoft, Meta and Google.

It remains to be seen whether AMD's MI300 chips will be successful and can unlock the potential of the AI ​​market. The company's shares have risen by almost two-thirds this year despite recent price losses. Goldman Sachs lowered its price target for AMD but left it at “Buy” as market share gains in the server business and momentum in the data center segment speak for the stock.

Source: According to a report from www.finanzen.net