AMD targets $100 billion in annual data center chip revenue within five years.
Advanced Micro Devices (AMD) has set a goal of generating $100 billion in annual data center chip revenue within the next five years, driven by surging demand for artificial intelligence infrastructure and cloud computing. The company also expects its overall earnings to more than triple during the same period. Recently, AMD signed a multiyear deal with OpenAI that could bring in tens of billions of dollars in annual revenue.
At its analyst day in New York—the company's first in three years—CEO Lisa Su said AMD expects the total addressable market for its data center chips to reach $1 trillion by 2030. The growth will be fueled largely by AI adoption across industries, with the market encompassing general-purpose processors, networking solutions, and AMD's specialized AI accelerators. "There's no question data center is the largest growth opportunity out there, and AMD is very well positioned for it," Lisa Su said.
AMD expects to achieve annual growth of 35 percent across its overall business and about 60 percent growth in its data center division over the next three to five years, according to Chief Financial Officer Jean Hu. The company also projects its earnings to climb to $20 per share during this period, compared to LSEG's 2025 profit estimate of $2.68 per share. This bullish forecast follows Nvidia CEO Jensen Huang's estimate that the broader AI infrastructure market will expand to between $3 trillion and $4 trillion by 2030, highlighting the immense opportunity in AI-driven computing.
AMD announced that its upcoming MI400 series of AI chips will debut in 2026, with variants optimized for generative AI and scientific computing. The company also plans to introduce a complete AI server rack—a product similar to Nvidia's GB200 NVL72—to strengthen its presence in the data center hardware ecosystem. AMD is accelerating its AI strategy through a series of targeted acquisitions, having recently acquired server builder ZT Systems and several smaller software firms focused on AI development, and announcing on Monday the purchase of MK1, an AI software startup.
Chief Strategy Officer Mat Hein said AMD plans to continue its AI software "tuck-in" acquisitions to ensure it has the talent and technology needed to expand its AI ecosystem. CEO Lisa Su described this approach as building "an M&A machine." AMD's strong forecast for the fourth quarter exceeded Wall Street expectations, underscoring confidence in its AI-driven growth strategy as demand for AI chips and data center CPUs continues to surge.