AMD record quarter — AMD’s record quarter has put the chipmaker on the verge of an unprecedented milestone: surpassing Intel in quarterly revenue for the first time in its history. The company reported $13.4 billion in third-quarter revenue on Tuesday, a 45 percent jump from the same period last year, powered by a data center business that nearly doubled while its gaming segment collapsed.
The contrast between those two segments tells the story of AMD’s shifting fortunes. Data center revenue reached a record $8.5 billion, up 97 percent year over year, as demand for EPYC enterprise server CPUs and the launch of the Instinct MI450 series GPUs drove growth. Meanwhile, the gaming division cratered, though the company did not break out specific figures for that segment in the report.
Guidance Points to Historic Crossover
AMD’s fourth-quarter outlook suggests the momentum will continue. CFO Jean Hu said the company expects revenue of approximately $17 billion, plus or minus 3 percent, and noted that the midpoint of that guidance represents roughly 66 percent year-over-year growth. She attributed the projected acceleration primarily to the data center segment. That forecast is up another 27 percent from the just-reported quarter.
The number takes on added significance when compared with Intel’s own guidance. Intel’s fourth-quarter revenue estimates fall between $15 billion and $16 billion. If both companies hit their expected ranges, AMD would exceed Intel’s quarterly revenue for the first time ever—a symbolic reversal for two firms that have competed for decades in the processor market.
The data center surge is not the only bright spot. AMD’s Client business, which includes desktop Ryzen processors, posted $2.95 billion in revenue, up 7 percent year over year, with sales of Ryzen mobile chips leading that growth. The company’s overall record revenue of $13.4 billion reflects a 45 percent increase, marking one of its strongest year-over-year gains in recent memory.
Data Center Fuels the Ascent
The near-doubling of data center revenue to $8.5 billion underscores how much AMD’s enterprise and server business has become the engine of its growth. The EPYC line of server CPUs has gained traction among enterprise customers, and the launch of the Instinct MI450 series GPUs adds a new product family to the segment. Those two product lines are the stated drivers behind the record data center performance.
The gaming segment’s sharp decline stands in stark contrast to the data center boom. While AMD did not disclose the exact revenue figure for gaming in the source material, the segment’s cratering represents a drag on otherwise strong results. The divergence highlights how AMD’s business mix has shifted toward enterprise and data center customers, even as consumer-facing segments face headwinds.
What the Numbers Mean
The third-quarter results and fourth-quarter guidance together paint a of a company firing on its data center cylinders. With $17 billion projected for the current quarter and Intel guiding to $15 billion to $16 billion, the revenue gap between the two rivals could close entirely—and flip in AMD’s favor.
For now, AMD’s record quarter stands on its own: $13.4 billion in revenue, 45 percent growth, a data center segment that nearly doubled to $8.5 billion, and a client business that posted modest gains. The gaming segment’s collapse is a blemish, but it is one the data center business has more than offset. Whether the fourth quarter delivers the historic crossover with Intel remains to be seen, but AMD’s guidance suggests the company believes it is within reach.
