AMD CEO Lisa Su Expects $1B In MI300 Sales: Microsoft, Meta, Oracle, Google, Amazon Placing Orders?

Advanced Micro Devices Inc’s AMD CEO Lisa Su has high hopes for the company’s new MI300 in terms of driving, or rather commanding, revenues.

“We now expect Data Center GPU revenue to be approximately $400 million in the fourth quarter and exceed $2 billion in 2024 as revenue ramps throughout the year,” Su said at the company’s conference call. “This growth would make MI300 the fastest product to ramp to $1 billion in sales in AMD history.”

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AMD is already making accelerated progress with respect to artificial intelligence (AI), especially in terms of securing purchase commitments from cloud customers. Microsoft MSFT, Meta Platforms META, Oracle ORCL, Google GOOGL GOOG, and Amazon AMZN have likely placed orders for the MI300.

AMD Supply

Beyond the cloud, the MI300 chip’s use in high-performance computing applications is also expected to bring in orders for AMD. Considering AMD’s existing supply constraints on HBM and CoWoS, and the expected increase in order volume as the year progresses, the company could experience a stressed Q3 and an oversupplied Q4.

Su admitted to the supply chain issues for AI chip at an interview with The Verge, earlier this year. “…there's suddenly another big spike in demand thanks to everyone wanting to run AI models. The balance of supply and demand is overall in a pretty good place right now, Lisa told us, with the notable exception of these high-end GPUs powering all of the large AI models that everyone's running,” she clarified.

So, while investors are very optimistic about the MI300 GPU turning into a cash cow for AMD, the returns seem likely to be realized only over the long term. Meanwhile, Nvidia NVDA, with its flagship GPU H100 and it’s near monopoly in generative AI-capable GPUs currently, continues to cash the opportunity that has already presented itself.

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