AMD Delays Desktop CPU Zen 5 Processor Launch - What's Going On?

Advanced Micro Devices, Inc AMD has postponed the launch of its highly anticipated Zen 5 processors, including the 16-core, 32-thread Ryzen 9 9950X, which it claims to be “the world’s most powerful desktop consumer processor.”

The company discovered that some initial production units still needed to undergo the full range of quality checks, the Verge reports.

The new launch dates are August 8 for the Ryzen 7 9700X and Ryzen 5 9600X and August 15 for the Ryzen 9 9950X and Ryzen 9 9900X.

The new lineup includes the Ryzen 9 9950X, Ryzen 9 9900X, Ryzen 7 9700X, and Ryzen 5 9600X.

Regarding recent issues faced by Intel Corp INTC with its 13th and 14th Gen desktop processors, AMD’s cautious approach appears prudent.

Intel’s Core i9-13900K and i9-14900K processors have been plagued with stability problems, and a fix will be likely by August.

In addition to desktop processors, AMD is also preparing to launch its Zen 5 laptop chips, codenamed Strix Point and formerly known as Ryzen AI 9 300.

AMD’s postponement coincided with President Victor Peng’s retirement announcement, effective August 30, 2024. Peng was pivotal to the company’s artificial intelligence strategy.

The semiconductor sector noted a selloff last week and this week due to rising geopolitical tensions between the U.S. and China over advanced semiconductor technology. AMD and Nvidia Corp NVDA lost 6% in stock value Wednesday.

The U.S. tech giants highlighted China’s importance as a critical semiconductor market.

Additionally, this week, the second-quarter results of U.S. Big Tech giants like Tesla Inc TSLA and Google parent Alphabet Inc GOOG GOOGL left the street impressed. Chipmakers like AMD and Nvidia are betting on the AI ambitions of the Big Tech giants to fuel their growth trajectory.

Price Action: AMD shares traded lower by 2.32% at $141.27 at the last check on Thursday.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

Photo courtesy of AMD for representation.