What's Going On With AMD Stock Monday?

Advanced Micro Devices, Inc AMD stock has continued to trade in the greener territory since it launched its Nvidia Corp NVDA artificial intelligence chip rival MI300X last week, gaining 14% in stock value.

AMD CEO Lisa Su revealed that for 2024, AMD has won a "significant" supply of over $2 billion worth of AI chips. AMD expects the market for data center AI chips to surge to $400 billion by 2027.

Also Read: NVIDIA Helps India Achieve AI Dominance: After Reliance, Pens Deal With Tata

Also, AMD is focusing on data centers and the telecom sector in India for growth opportunities. Vinay Sinha, AMD India's MD of Sales, in a conversation with Digitimes Asia, identified these sectors as crucial due to the surge in data usage driven by government digitization, the advent of 5G, and the increasing application of AI, Big Data, and ML in businesses.

The need for robust and secure data centers to handle the massive data generated daily is growing. The Indian government's data localization policy also prompts companies to expand their data center capacities within the country, making India the second largest data center market in Asia-Pacific after China.

In the telecom sector, AMD anticipates significant adoption of high-performance server CPUs as India gears up for the 6G network. According to the report, Sinha mentioned that telecom companies must enhance their data processing infrastructure for faster internet delivery and seamless roll-out of next-gen applications. AMD is tapping into these opportunities by promoting the value of its EPYC processors for modern data centers.

In July, AMD committed $400 million to India over five years at Semicon India 2023, planning the addition of approximately 3,000 new engineering roles by the end of 2028. The planned investment includes a new AMD campus in Bangalore, Karnataka.

The report further added that the company sees India as a crucial market for its diverse product portfolio, including high-performance CPUs, AI accelerators, GPUs, SoCs, and FPGAs. AMD also contributes to the computing and semiconductor ecosystem in India and globally with open-source solutions like AMD ROCm, supporting the AI software ecosystem.

Price Action: AMD shares traded higher by 3.08% at $133.13 on the last check Monday.

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