AMD Sees 70% Q2 CPU Revenue Growth as Agentic AI Spurs $120B TAM
AMD•AMD expects its second-quarter CPU revenue to grow 70% year-over-year as agentic AI drives 'tremendous' demand across its CPU platforms. The company has doubled its 2030 data center CPU total addressable market estimate to $120 billion, citing strong forecasts from OpenAI and Meta.
1. Q2 CPU Revenue Growth Forecast
AMD expects second-quarter CPU revenue to rise over 70% year-over-year following a 50% increase in the first quarter, fueled by customer demand for AI-driven compute workloads.
2. Agentic AI Driving CPU Demand
CFO Jean Hu explained that agentic AI workloads, which involve orchestration, database access and tool execution, require significant CPU performance and are generating incremental platform demand.
3. $120B Data Center CPU Market Opportunity
The company has revised its 2030 data center CPU total addressable market to $120 billion, up from $60 billion, based on stronger than anticipated forecasts from anchor customers.
4. Market Segmentation and Customer Anchors
AMD segments its CPU market into traditional general-purpose compute, GPU cluster head nodes and agentic AI racks, with OpenAI and Meta leading demand that exceeds the original 2027 outlook.
