AMD's AI Chip Sales Might Disappoint in 2025
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Advanced Micro Devices (NASDAQ: AMD) has emerged as the No. 2 player in the artificial intelligence (AI) accelerator market, although it remains far behind Nvidia. While Nvidia is now generating $30 billion per quarter in its data center segment, AMD has said it expects to produce around $5 billion from AI accelerator sales in all of 2024.With demand for AI accelerators still booming and AMD's market share small, there should be plenty of room for the company to grow its AI business quickly. However, 2025 could be a less-than-stellar year for AMD if a new forecast from a Wall Street analyst is to be believed.An analyst at Wolfe Research downgraded AMD stock on Thursday to the equivalent of "hold" and removed his price target entirely due to concerns about data center graphics processing unit (GPU) growth. The analyst pointed to build plans from original design manufacturers to justify the increased pessimism.Continue readingWeiter zum vollständigen Artikel bei MotleyFool
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