AMD's data center business just more than doubled, and gaming is paying the price
AMD's overall revenue reached a record $11.5 billion, up 50% year-over-year. "Revenue increased 50 percent year-over-year to a record $11.5 billion, driven by continued strength in our Data Center business, which represented 58% of company revenue in the quarter," AMD CFO Jean Hu wrote. That mix puts data center and... Read Entire Article
AMD's data center business has more than doubled in size, with gaming sales struggling as the primary driver. The company reported $6.7 billion in data center revenue for Q2 2026, up from $3.2 billion a year earlier and $5.8 billion in the previous quarter. This marks 58% of AMD's total revenue, showing the growing importance of AI compute demand.
Overall, AMD's revenue reached a record $11.5 billion, up 50% year-over-year. CFO Jean Hu emphasized this shift, stating data center accounted for 58% of company revenue. CEO Lisa Su expects the data center segment to more than double year-over-year in 2027 due to AI infrastructure growth. Gamers faced challenges, with gaming revenue falling 31% to $779 million, attributed to higher component costs and price-sensitive consumers affecting console and device sales.
Despite the decline, AMD's PC and gaming business still grew 6% due to stronger client processor sales. This shift towards data center and AI workloads indicates AMD will continue investing in dense computing and advanced interconnects to cater to large-scale AI training and inference.
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