AMD’s data center revenue more than doubles year-over-year to $6.7B amid AI demand

AMD reported data center revenue of $6.7 billion in its latest quarter, representing a 107% increase year-over-year and a 15.5% increase from the prior quarter’s $5.8 billion. The company attributed the surge to demand for AI-capable compute capacity.

During the earnings call, AMD CEO Lisa Su stated the company expects data center segment revenue to more than double year-over-year in 2027, highlighting sustained growth in AI-driven markets.

AMD’s gaming revenue declined 31% year-over-year to $779 million, with AMD CFO Jean Hu noting higher industry-wide component costs contributed to reduced demand for graphics cards and consoles like the Xbox Series X/S, PS5, and Steam Deck.

Overall company revenue increased 50% year-over-year to a record $11.5 billion, with the data center segment accounting for 58% of total revenue. Client revenue, driven by Ryzen processor sales, grew 23% year-over-year.

AMD leadership emphasized AI as a key driver of compute demand across markets, positioning the company’s portfolio to capture growth in AI infrastructure and deliver revenue and earnings expansion in the coming years.