Eseandre Mordi
⬤ Ahead of AMD's Financial Analyst Day in New York, expectations are building that the company will significantly raise its long-term AI projections. AMD now sees the total addressable market for AI accelerators reaching $750–850 billion this decade—a major jump from its previous $500+ billion estimate. This suggests AI computing demand is growing faster than even the most bullish forecasts.
⬤ This optimistic outlook comes with risks. There's ongoing discussion about potential tax changes targeting high-value computing infrastructure. Poorly designed tax policies could burden smaller companies, increasing bankruptcy risks and driving talent to more stable markets. For AMD, such regulatory hurdles could complicate its massive infrastructure rollout plans during this critical AI buildout phase.
⬤ Financial analysts are bullish on AMD's prospects. Bank of America estimates the company could reach $15–18 in earnings per share by 2030 if its planned 6-gigawatt AI infrastructure deployment with OpenAI fully materializes. This positions AMD as a major winner in the AI hardware race, especially as competition with Nvidia intensifies.
⬤ AMD's sharply upgraded market outlook reflects surging demand for high-performance computing across major cloud providers. With AI workloads exploding and multi-gigawatt data centers moving from blueprints to reality, these revised projections highlight the enormous stakes ahead. Wall Street is watching closely—this upcoming analyst event could be one of AMD's most important in years.
Eseandre Mordi
