AMD Forecasts $11.2B Q2 Revenue and $60B Meta AI Chip Deal Pressures NVIDIA
AMD forecasts Q2 revenue of $11.2 billion ±$300 million versus $10.52 billion consensus and secured up to $60 billion in AI chip sales to Meta over five years. Shares have risen about 60% YTD, outpacing NVIDIA’s 6% gain and heightening competition in AI processors.
1. Q2 Revenue Beat And Meta Partnership
AMD projects second-quarter revenue of $11.2 billion plus or minus $300 million, well above the $10.52 billion analyst consensus. The company also confirmed a deal to supply Meta Platforms up to $60 billion in AI chips over five years, underscoring strong demand for its data-center CPUs and GPUs.
2. Competitive Implications For NVIDIA
AMD’s shares have climbed roughly 60% year to date, far outpacing NVIDIA’s 6% gain, as cloud providers accelerate AI infrastructure spending. The ramp in AMD’s CPU-based inference offerings and its growing market share intensify pressure on NVIDIA’s dominance in data-center AI hardware.