AMD latest chipmaker to reach US$1tril valuation on AI boom
NEW YORK: US chip company AMD became the latest equity to reach a US$1 trillion valuation Monday due to the massive investment boom over artificial intelligence.
On Monday, US chipmaker Advanced Micro Devices (AMD) reached a historic US$1 trillion market valuation, marking another milestone in the artificial intelligence (AI) investment boom. By 1510 GMT, AMD shares had climbed by 9.4 percent, reaching US$612, adding approximately US$200 billion in value to the company within just one week.
The surge in AMD's worth is a result of strategic partnerships with major AI players like OpenAI and Anthropic, as well as a substantial increase in data centre revenue. In the second quarter of this year, AMD's revenue reached US$11.5 billion, a 50 percent boost compared to the same period last year, driven by a more than doubling of data centre revenue.
In their earnings report released early in August, AMD forecasted accelerated growth in data centre sales during the second half of 2026. Despite this impressive valuation, AMD still falls short of Nvidia, another leading AI chipmaker, whose market value is estimated at US$5.5 trillion.
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Also reported by 2 other outlets
- AMD becomes latest chipmaker to reach $1 trillion valuation on AI demand economictimes.indiatimes.com
- AMD becomes latest chipmaker to reach $1 trillion valuation on AI demand channelnewsasia.com
