News that AMD has released the next-generation data center GPU Instinct MI350 in advance has attracted industry attention. The MI350, which was originally planned to be released in the second half of 2025, was conducted in this quarter in advance due to the exceeding expectations in the R&D progress and strong market demand, and is planned to accelerate production in the middle of the year. This move shows AMD's aggressive attitude in the competition in the data center GPU market, aiming to seize market share and further consolidate its position in the field of high-performance computing. AMD's sales of Instinct chip in 2024 have exceeded $ 5 billion, and it is expected that the data center business will achieve double -digit growth in 2025, showing a strong growth momentum.
Recently, AMD announced on its fourth-quarter 2024 earnings call that it plans to launch its next-generation data center GPU series, AMD Instinct MI350, in advance. AMD CEO Zifeng Su said that the MI350 will conduct sample testing with "main customers" during the quarter and will accelerate production and shipment in the middle of the year.
Su Zifeng pointed out that AMD originally expected to launch the MI350 in the second half of 2025, but because the product's progress exceeded expectations and strong customer demand, AMD decided to speed up production in advance. She stressed that this will enhance AMD's competitiveness in the market.
While AMD's data center revenue is still underperforming compared with its rival Nvidia, which often exceeds tens of billions of dollars in quarterly revenue, AMD has made some progress over the past year, successfully attracting Meta, Microsoft and IBM Waiting for customers. AMD said Instinct chip sales exceeded $5 billion in 2024 and expects its data center business to achieve "double-digit" growth by 2025. Last year, the data center revenue accounted for about half of AMD's total revenue, reaching 3.9 billion US dollars, and AMD's overall revenue was $ 7.1 billion.
Su Zifeng also said that demand for AI computing is very strong, and she believes that MI350 will be a catalyst for the growth of the data center GPU business, and expects the business to grow to tens of billions of dollars in the next few years. Investors responded positively to AMD's fourth-quarter results, with AMD's share price rising 4.58% at the time of release.
Points:
AMD will launch a new generation of data center GPU MI350 ahead of schedule, and is expected to conduct sample testing this quarter.
Production plans for this series of GPUs have been advanced to mid-year to meet strong market demand.
AMD's Instinct chip sales exceeded $5 billion in 2024, and its data center business is expected to achieve double-digit growth.
AMD launched MI350 in advance, demonstrating its aggressive strategy in the field of AI computing and accelerating its layout in the data center market. Its future development is worth looking forward to. Strong market demand and technological breakthroughs will be the key to AMD's continued growth momentum.