By Rob Enderle for TG Daily
AMD continues to showcase the benefits of focused management and solid execution. This quarter, (3rd quarter 2023), represents impressively strong results in what has been an uneven market with nervous customers and ever higher interest rates collectively creating a drag on sales outside of AMD’s control. And this wasn’t a one-shot, either. AMD’s outlook is also very positive and aggressive. Given AMD CEO’s Lisa Su tends to be conservative in her outlook, that is a good thing.
Let’s talk about some of the high and lowlights of AMD’s financial results.
AMD’s data center efforts were particularly powerful in what has been a relatively soft market due to high capital costs and concerns about consumer demand (which has stayed surprisingly strong). While the related revenue was flat year-over-year, it was up 21% sequentially, showcasing impressive sales performance last quarter in a soft market. AMD reported double digit growth in the Cloud.
In addition, AMD reported that Dell, Lenovo, Supermicro and several others launched new EPYC CPU platforms, increasing the total available market for the parts in telco, retail and manufacturing applications.
EPYC has been doing surprisingly well and I’ve heard from several OEMs that they are impressed not only with the part but with AMD’s execution over the last 5 to 10 years. While other firms seemed to struggle through downturns and were forced to downsize, AMD just plugged along, and this resulted in consistency, reliability and increased trust between AMD and the OEMs it services.
AMD’s MI300X AI-focused GPU platform also saw a huge uptick to around $300M against an earlier estimate closer to $200M. MI300a GPUs weren’t material in volume given they just started production recently, but demand is reported to be high and projections for these products are expected to be very strong well into 2024, especially given AI demand is through the roof.
AMD got some good news from Lamini…
Find out what the good news is and more when you read the full article: AMD's Amazingly Strong Q3 Results
Rob Enderle, The Enderle Group
An Internet search of media quotes validates Rob Enderle as one of the most influential technology pundits in the world. Leveraging world-class IT industry analysis skills honed at DataQuest, Giga Information Group, and Forrester Research, Rob seized upon the power of the information channel as a conduit to reach business strategists and deliver valuable, experienced-based insight on how to leverage industry advances for maximum business advantage.
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