AMD Raises CPU TAM To $120B, Microsoft Says It’s Less Concerned About Meta
META•AMD CFO Jean Hu forecasts Q2 CPU revenue will grow 70% year-over-year and raises data center CPU TAM to $120 billion by 2030, citing Meta and OpenAI as anchor customers. Microsoft AI chief Mustafa Suleyman unveiled seven new in-house models, says a six-month gap has closed and it’s now less concerned about Meta, Google and OpenAI.
1. AMD Forecasts Surge In CPU Demand
Jean Hu, AMD CFO, said agentic AI workloads are driving “tremendous” CPU demand, with Q2 CPU revenue expected to rise over 70% year-over-year and the data center CPU total addressable market cut to $120 billion by 2030. She noted Meta and OpenAI have placed orders exceeding AMD’s original 2027 plans, underscoring strong anchor-customer demand.
2. Microsoft AI Chief Addresses Competitive Landscape
Mustafa Suleyman, Microsoft’s AI chief, introduced seven new models focused on reasoning and enterprise use cases, stating his team has closed an “enormous gap” in AI capabilities within six months. He added the company is now less concerned about competition from Meta, Google and OpenAI, as it shifts toward building in-house models to improve margins.
