AMD Rallies After Predicting Sales Surge for New AI Processor
- AI optimism helps investors look past tepid overall forecast
- Slowdown in demand for video-game consoles is hurting sales
Advanced Micro Devices headquarters in Santa Clara, California.
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Advanced Micro Devices Inc. soared as much as 8.1% after saying a new AI chip will generate $2 billion in sales next year, fueling optimism that demand for the component will offset a slump in orders for video-game equipment.
The company’s MI300 processor, which will compete with Nvidia Corp. products in the market for artificial intelligence accelerators, is set to begin shipping in the coming weeks, AMD said during a post-earnings conference call Tuesday.