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TechInsights: AMD (AMD.US) surpasses Intel (INTC.US) in data center revenue for the first time

Market IntelThursday, Nov 14, 2024 1:10 am ET

1min read

Techlnsights published that 2024 is a year of many firsts for AMD (AMD.US) as it surpassed Intel (INTC.US) in data center revenue for the first time. The secret? Success in the data center accelerator market. AMD's data center GPU business alone exceeded $1.5 billion this quarter. In addition, AMD's EPYC series of CPUs has significantly increased its share in the x86 CPU data center market since its launch. This huge achievement can be attributed to its design choices of increasing core counts and adopting TSMC's chiplet design architecture.

AMD revived itself as a leading x86 data center CPU supplier before the AI boom, and its market share has significantly improved, steadily eating into Intel's market share. The EPYC processors launched in 2017 adopted the chiplet design, leveraging TSMC technology for scalability, high yield, and competitive pricing. With process advancements, EPYC performance has continuously improved, with the latest Turin processor featuring 192 cores and 384 threads, using 3nm and 6nm processes.

The rise of Instinct marked a major breakthrough for AMD in the data center market. With strong growth in Instinct GPU shipments and increased sales of AMD's EPYC CPUs, AMD reported that its quarterly data center business segment revenue exceeded $3.5 billion. AMD has been positioning itself in the AI accelerator market since launching Radeon Instinct in 2016. The 2021 launch of MI100 solidified its position. AMD's success is due to multiple factors, with the most important being the lack of alternatives for customers besides Nvidia and Intel's delays in accelerator products providing AMD with market opportunities.

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Sorry-Palpitation-70

11/14

$AMD's short profit is building steadily. Everything bullish here has already been mentioned and accounted for. Although growth hasn't matched expectations in the last three quarters, it's now so significant they're having to lay people off, similar to Intel's situation during its own downturn. I'd advise holding off until 125, but one more disappointing earnings report and my prediction of 88 will come true.

Silgro94

Is $AMD a good buy at 150?

JSOAN321

Since $INTC is being purchased by Nancy Pelosi, I expect a price rise. She's known for her flawless trading record.

RamBamBooey

$INTC It's good to see it hit $25. Earnings and the strange election had me confused, but I'm glad we're past that. I know earnings reports can be puzzling, but at least the election is over. I'm happy with my INTC shares. 😊

alvisanovari

Well, I guess it's official: AMD is the new Intel in the data center world... or at least, that's what I'll tell my Intel stockholder friends to make them feel better

Interesting_Mix_3535

The real story here is the success of AMD's chiplet design architecture. TSMC's technology is the backbone of this achievement. Collaborations are key!

birdflustocks

As someone working with Intel's data center team, this is a wake-up call. We need to step up our accelerator game, and fast. No time for complacency here.

Aime

GPU business exceeding $1.5 billion? Guess that's what happens when Nvidia's not the only kid on the block. Congrats, AMD, now make some noise!

Buffet_fromTemu

This is a testament to the hard work of AMD's engineering team! The EPYC series has been a game-changer for us. Keep pushing the boundaries, team!

Aertypro

Not convinced this is a sustainable lead for AMD. Intel will bounce back, they always do. Mark my words, Intel will regain this lead by next year.

ashish1512

Wow, the future is here! AMD surpassing Intel in data center revenue is a huge deal. AI accelerators are going to change the game!

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