AMD Positions Itself More Strongly in the AI Market

Advanced Micro Devices (AMD) is breaking new ground in the steadily growing data center market with an innovative AI chip. The company reported a remarkable revenue increase in the said sector, which soared by 80 percent to $2.3 billion in the last quarter. The expansion poses a direct challenge to Nvidia, which until now was seen as the undisputed market leader in AI technology segment. Rivals like AMD and also Intel are determined to enlarge their share of the lucrative opportunities that the AI segment offers. Overall, AMD managed to moderately increase its revenue by two percent compared to the previous year, reaching $5.47 billion. Notably, the business with PC processors made a significant leap in revenue, jumping from $739 million to $1.37 billion. In contrast, however, the company suffered a shrink in the area of chips for game consoles, which lost almost half of their revenue, falling to $922 million. On the earnings side, AMD was back in the black with a net profit of $123 million, representing a significant improvement over the loss of $139 million in the same period last year. Nonetheless, the company's stock reacted with a decrease of over four percent in after-hours trading. In summary, AMD has taken significant steps to strengthen its presence in the field of artificial intelligence, an industry characterized by rapid innovation and growing demand.