Data Center RFID Market to Reach $9B by 2030, Driven by IoT Integration, Regulatory Compliance, and Cost Optimization Pressures

The Data Center RFID market is expected to grow at a CAGR of 28.0% from 2024 to 2030, reaching $9.0 billion by 2030. The market is driven by the need for efficient asset management, IoT integration, regulatory compliance, and cost optimization. Key growth areas include BFSI and IT & Telecom, with significant expansion in the U.S. and China. The market is expected to present opportunities in asset management, driven by rising efficiency needs and enhanced security demands.

Advanced Micro Devices (AMD) is bolstering its presence in the AI and data center markets through strategic partnerships, positioning itself as a formidable player against competitors like NVIDIA and Broadcom. The company has forged collaborations with major tech firms such as OpenAI, Cohere, IBM, Google, Oracle, HPE, Dell Technologies, Lenovo, and Super Micro, among others. These partnerships are expanding AMD’s data center footprint and accelerating the adoption of AI technologies in enterprises.

One of AMD’s most significant moves is a multi-year partnership with OpenAI to deploy 6 gigawatts of AMD Instinct GPUs for next-gen AI infrastructure. The initial deployment of 1 gigawatt of AMD Instinct MI450 GPUs is scheduled for the second half of 2026, strengthening AMD’s presence in high-performance computing (HPC) data centers. This partnership is expected to enhance AMD’s competitive edge against NVIDIA, which has a dominant position in AI computing.

Additionally, AMD is collaborating with Cohere, with Cohere’s full suite of AI products, including Command A, Command A Vision, Command A Translate, and North, now running on AMD Instinct GPU-powered infrastructure. This collaboration also includes integrating Cohere’s North platform into AMD’s internal AI portfolio, improving engineering workflows and enabling secure, private, and compliant AI solutions. Tech Mahindra and IBM are also working with AMD to accelerate AI innovation.

AMD expects its data center revenues to grow at a double-digit rate on both a year-over-year and sequential basis in the third quarter of 2025, driven by a strong portfolio. The company anticipates that the launch of the MI400 series in 2026 will further boost its data center revenues. Our model projects 2025 data center revenues to reach $14.47 billion, suggesting a 15% increase from the 2024 figure.

Despite these promising prospects, AMD faces tough competition from NVIDIA and Broadcom. NVIDIA is at the forefront of AI computing, with its products widely used across data centers, gaming, and autonomous vehicles. Broadcom is also benefiting from strong demand for its networking products and custom AI accelerators (XPUs), with accelerated demand expected in the second half of 2026.

AMD shares have shown robust performance, jumping 79.1% year to date, outperforming the broader Zacks Computer and Technology sector’s return of 19.5% and the Zacks Computer-Integrated System industry’s appreciation of 61.9%. However, AMD stock is considered overvalued, with a forward 12-month price/sales ratio of 9.21X compared to the sector’s 6.73X. The Zacks Consensus Estimate for third-quarter 2025 earnings is pegged at $1.16 per share, indicating 26.09% year-over-year growth. The consensus mark for fourth-quarter 2025 earnings is $1.31 per share, suggesting 20.18% year-over-year growth. AMD currently carries a Zacks Rank #3 (Hold).