AMD Outlines Sharpened Focus at 2015 Financial Analyst Day

Next-genera­ti­on tech­no­lo­gies and pro­ducts desi­gned to dri­ve pro­fi­ta­ble growth across gaming, immer­si­ve plat­forms, and fuel a signi­fi­cant return to the dat­a­cen­ter

NEW YORK — May 6, 2015 — Today, at its 2015 Finan­cial Ana­lyst Day taking place at Nasdaq Mar­ket­Si­te, AMD (NASDAQ: AMD) pro­vi­ded details on the company’s mul­ti-year stra­te­gy to dri­ve pro­fi­ta­ble growth based on deli­vering next-genera­ti­on tech­no­lo­gies powe­ring a broad set of high-per­for­mance, dif­fe­ren­tia­ted pro­ducts across the key are­as of gaming, immer­si­ve plat­forms, and the datacenter.

We see strong long-term growth oppor­tu­nities across a diver­se set of mar­kets for the kind of high-per­for­mance com­pu­te and visua­liz­a­ti­on capa­bi­li­ties only AMD can pro­vi­de,” said AMD Pre­si­dent and CEO Dr. Lisa Su. “We are focu­sing our invest­ments on our stron­gest oppor­tu­nities to enab­le our cus­to­mers to crea­te gre­at pro­ducts that push the bounda­ries of what is pos­si­ble and allow AMD to achie­ve pro­fi­ta­ble growth in the years to come.”

IP and Core Tech­no­lo­gy Updates

AMD show­ca­sed a num­ber of engi­nee­ring inno­va­tions at the event, inclu­ding details on its next-genera­ti­on 64-bit x86 and ARM pro­ces­sor cores, future gra­phics cores expec­ted to deli­ver a 2x per­for­mance-per-watt impro­ve­ment com­pa­red to cur­rent genera­ti­on offe­rings[i], and bre­akthrough modu­lar design metho­do­lo­gy that redu­ces sys­tem-on-chip (SoC) deve­lo­p­ment cos­ts and acce­le­ra­tes time to market.

Tech­no­lo­gy-rela­ted announ­ce­ments included:

  • Deve­lo­p­ment of a brand new x86 pro­ces­sor core code­n­a­med “Zen,” expec­ted to dri­ve AMD’s re-ent­ry into high-per­for­mance desk­top and ser­ver mar­kets through impro­ved inst­ruc­tions per clock of up to 40 per­cent, com­pa­red to AMD’s cur­rent x86 pro­ces­sor core. “Zen” will also fea­ture simul­ta­ne­ous mul­ti-threa­ding (SMT) for hig­her through­put and a new cache subsystem.
  • Updates on the company’s first cus­tom 64-bit ARM core, “K12” core. The­se enter­pri­se-class 64-bit ARM cores are desi­gned for effi­ci­en­cy and are ide­al­ly sui­ted for ser­ver and embed­ded workloads.
  • AMD’s plans to extend its gra­phics tech­no­lo­gy lea­ders­hip by offe­ring the first high-per­for­mance gra­phics pro­ces­sing unit (GPU) in the indus­try fea­turing die sta­cked High Band­width Memo­ry (HBM) using a 2.5D sili­con inter­po­ser design. AMD plans to intro­du­ce this inno­va­ti­ve pack­a­ging solu­ti­on this year with its latest GPU.

In addi­ti­on to dis­cus­sing soft­ware, secu­ri­ty, and other key plat­form enab­lers, AMD high­ligh­ted its new high-per­for­mance net­work-on-chip (NoC) tech­no­lo­gy, a modu­lar design approach that lever­a­ges re-usable IP buil­ding blocks to maxi­mi­ze design effi­ci­en­cy. This bre­akthrough design approach is expec­ted to lower cost and time-to-mar­ket for both AMD’s stan­dard and future semi-cus­tom products.

We are doub­ling down on our IP core invest­ments in align­ment with our tra­di­tio­nal deve­lo­p­ment strengths to address key mar­ket needs for per­for­mance and cus­to­mer choice through high-per­for­mance, scala­b­le 64-bit x86 and ARM CPU cores and con­ti­nued gra­phics lea­ders­hip,” said Mark Paper­mas­ter, seni­or vice pre­si­dent and chief tech­no­lo­gy offi­cer, AMD. “In addi­ti­on, we have built a sys­tem for modu­lar design around our new net­work-on-chip tech­no­lo­gy desi­gned to sub­stan­ti­al­ly incre­a­se deve­lo­p­ment agility.”

Com­pu­ting and Gra­phics Seg­ment Updates

Addi­tio­nal­ly, AMD announ­ced updates to its Com­pu­ting and Gra­phics (CG) pro­duct road­maps for acce­le­ra­ted pro­ces­sing unit (APU), cen­tral pro­ces­sing unit (CPU), and GPU pro­ducts plan­ned for intro­duc­tion in 2016 and bey­ond. The upco­m­ing pro­ducts address key cus­to­mer prio­ri­ties, inclu­ding incre­a­sed per­for­mance, lon­ger bat­te­ry life, and impro­ved ener­gy effi­ci­en­cy. AMD also pro­vi­ded fur­ther details and publicly demons­tra­ted its 6th Genera­ti­on A‑Series APU, form­er­ly code­n­a­med “Car­ri­zo,” as well as its next-genera­ti­on GPU offe­rings laun­ching in the com­ing months.

AMD’s updated CG pro­duct road­map includes:

  • New AMD FX CPUs based on the “Zen” core and built using Fin­FET pro­cess tech­no­lo­gy. Fea­turing high core counts with SMT for high through­put and DDR4 com­pa­ti­bi­li­ty, the­se CPUs will share the AM4 socket infra­st­ruc­tu­re with AMD’s 2016 Desk­top APUs.
  • 7th Genera­ti­on AMD APUs will enab­le a dis­cre­te-level GPU gaming expe­ri­ence and full HSA per­for­mance in the FP4 Ultrat­h­in Mobi­le Infrastructure.
  • Future genera­ti­ons of high-per­for­mance GPUs will be based on Fin­FET pro­cess tech­no­lo­gy, which will con­tri­bu­te to a doub­ling of per­for­mance-per-watt.1 The­se cut­ting-edge dis­cre­te gra­phics will inclu­de second genera­ti­on HBM technology.

Enter­pri­se, Embed­ded, and Semi-Cus­tom Seg­ment Updates

AMD detail­ed the long-term stra­te­gy for its Enter­pri­se, Embed­ded and Semi-Cus­tom Busi­ness Group (EESC) to grow across a num­ber of high-prio­ri­ty mar­kets based on lever­aging high-per­for­mance CPU and GPU cores that allow cus­to­mers to build dif­fe­ren­tia­ted solu­ti­ons. The near-term will bring con­ti­nued focus on enab­ling scala­b­le, semi-cus­tom solu­ti­ons and growth in the embed­ded pipe­line. Loo­king ahead, next-genera­ti­on “Zen” and “K12” cores will bring high per­for­mance to the dat­a­cen­ter, a space whe­re AMD plans to regain share with a port­fo­lio that inclu­des x86 and ARM pro­ces­sors, incre­a­sed power effi­ci­en­cy, and a rene­wed pre­sence in the high-per­for­mance x86 ser­ver market.

AMD’s high-per­for­mance IP, effi­ci­ent modu­lar design metho­do­lo­gy, and evol­ved semi-cus­tom busi­ness model will fuel strong growth oppor­tu­nities across mul­ti­ple mar­kets,” said For­rest Nor­rod, seni­or vice pre­si­dent and gene­ral mana­ger, EESC. “In addi­ti­on to dri­ving sus­tai­ned growth in our semi-cus­tom and embed­ded busi­nes­ses, we’re reaf­fir­ming our com­mit­ment to high-per­for­mance ser­ver com­pu­ting based on our strong set of new pro­duct offerings.”

AMD’s EESC road­map details include:

  • Next-genera­ti­on AMD Opte­ron™ pro­ces­sors, based on the “Zen” core tar­ge­ting main­stream ser­vers that will enab­le a broad spec­trum of workloads with signi­fi­cant incre­a­ses in I/O and memo­ry capacity.
  • Buil­ding off of the expec­ted avai­la­bi­li­ty of “Seattle”-based sys­tems later this year, AMD detail­ed plans for its next-genera­ti­on ARM pro­ces­sors fea­turing the upco­m­ing “K12” core.
  • AMD also pro­vi­ded a glim­pse into its new high-per­for­mance APU tar­ge­ting HPC and work­sta­tion mar­kets that is inten­ded to deli­ver mas­si­ve impro­ve­ments to vec­tor app­li­ca­ti­ons with sca­le-up gra­phics per­for­mance, HSA ena­b­le­ment, and opti­mi­zed memo­ry architecture.

Sup­por­ting Resources


About AMD

AMD (NASDAQ: AMD) designs and inte­gra­tes tech­no­lo­gy that powers mil­li­ons of intel­li­gent devices, inclu­ding per­so­nal com­pu­ters, tablets, game con­so­les and cloud ser­vers that defi­ne the new era of sur­round com­pu­ting. AMD solu­ti­ons enab­le peop­le ever­y­whe­re to rea­li­ze the full poten­ti­al of their favo­ri­te devices and app­li­ca­ti­ons to push the bounda­ries of what is pos­si­ble. For more infor­ma­ti­on, visit

Cau­tio­na­ry State­ment  

This press release con­tains for­ward-loo­king state­ments con­cer­ning Advan­ced Micro Devices, Inc. (“AMD” or the “Com­pa­ny”) inclu­ding, that AMD’s next-genera­ti­on tech­no­lo­gies will launch on time, in suf­fi­ci­ent volu­me, achie­ve expec­ted per­for­mance gains and dri­ve pro­fi­ta­ble growth for the com­pa­ny; that AMD will be suc­cess­ful in its use of die-sta­cked high-band­width memo­ry; that AMD will make a signi­fi­cant return to the ser­ver mar­ket;  that AMD’s net­work-on-chip stra­te­gy will meet its sta­ted goals; and that AMD’s 6th Genera­ti­on APU pro­ducts will meet their sta­ted goals; which are made pur­suant to the Safe Har­bor pro­vi­si­ons of the Pri­va­te Secu­ri­ties Liti­ga­ti­on Reform Act of 1995. For­ward-loo­king state­ments are com­mon­ly iden­ti­fied by words such as “would,” “may,” “expects,” “belie­ves,” “plans,” “intends,” “pro­jects” and other terms with simi­lar mea­ning. Inves­tors are cau­tio­ned that the for­ward-loo­king state­ments in this press release are based on cur­rent beliefs, assump­ti­ons and expec­ta­ti­ons, speak only as of the date of this docu­ment and invol­ve risks and uncer­tain­ties that could cau­se actu­al results to dif­fer mate­ri­al­ly from cur­rent expec­ta­ti­ons. Risks inclu­de that Intel Corporation’s domi­nan­ce of the micro­pro­ces­sor mar­ket and its aggres­si­ve busi­ness prac­ti­ces may limit AMD’s abi­li­ty to com­pe­te effec­tively; that AMD reli­es on GF to manu­fac­tu­re most of its micro­pro­ces­sor and APU pro­ducts and cer­tain of its GPU and semi-cus­tom pro­ducts. If GF is not able to satisfy its manu­fac­tu­ring requi­re­ments, AMD’s busi­ness could be adver­se­ly impac­ted; that AMD reli­es on third par­ties to manu­fac­tu­re its pro­ducts, and if they are unab­le to do so on a time­ly basis in suf­fi­ci­ent quan­ti­ties and using com­pe­ti­ti­ve tech­no­lo­gies, AMD’s busi­ness could be mate­ri­al­ly adver­se­ly affec­ted; fail­u­re to achie­ve expec­ted manu­fac­tu­ring yiel­ds for AMD’s pro­ducts could nega­tively impact its finan­cial results; the suc­cess of its busi­ness is depen­dent upon its abi­li­ty to intro­du­ce pro­ducts on a time­ly basis with fea­tures and per­for­mance levels that pro­vi­de value to its cus­to­mers while sup­por­ting and coin­ci­ding with signi­fi­cant indus­try tran­si­ti­ons; if AMD can­not gene­ra­te suf­fi­ci­ent reve­nue and ope­ra­ting cash flow or obtain exter­nal finan­cing, it may face a cash short­fall and be unab­le to make all of its plan­ned invest­ments in rese­arch and deve­lo­p­ment or other stra­te­gic invest­ments; that AMD may not be able to suc­cess­ful­ly imple­ment its busi­ness stra­te­gy to refo­cus its busi­ness to address mar­kets bey­ond AMD’s  core PC mar­ket to high-growth adja­cent mar­kets; the com­ple­ti­on and impact of the 2014 rest­ruc­tu­ring plan and its trans­for­ma­ti­on initia­ti­ves could adver­se­ly affect AMD; glo­bal eco­no­mic uncer­tain­ty may adver­se­ly impact AMD’s busi­ness and ope­ra­ting results; AMD may not be able to gene­ra­te suf­fi­ci­ent cash to ser­vice its debt obli­ga­ti­ons or meet its working capi­tal requi­re­ments; AMD has a sub­stan­ti­al amount of indeb­ted­ness which could adver­se­ly affect its finan­cial posi­ti­on and pre­vent it from imple­men­ting its stra­te­gy or ful­fil­ling its con­trac­tu­al obli­ga­ti­ons; the agree­ments gover­ning AMD’s notes and its amen­ded and resta­ted seni­or secu­red asset based line of credit for a princi­pal amount up to $500 mil­li­on (Secu­red Revol­ving Line of Credit) impo­se restric­tions on AMD that may adver­se­ly affect AMD’s abi­li­ty to ope­ra­te its busi­ness; the mar­kets in which AMD’s pro­ducts are sold are high­ly com­pe­ti­ti­ve; the loss of a signi­fi­cant cus­to­mer may have a mate­ri­al adver­se effect on it; AMD’s rece­i­pt of reve­nue from its semi-cus­tom SoC pro­ducts is depen­dent upon AMD’s tech­no­lo­gy being desi­gned into third-par­ty pro­ducts and the suc­cess of tho­se pro­ducts; the demand for AMD’s pro­ducts depends in part on the mar­ket con­di­ti­ons in the indus­tries into which they are sold. Fluc­tua­tions in demand for AMD’s pro­ducts or a mar­ket decli­ne in any of the­se indus­tries could have a mate­ri­al adver­se effect on AMD’s results of ope­ra­ti­ons; AMD’s abi­li­ty to design and intro­du­ce new pro­ducts in a time­ly man­ner is depen­dent upon third-par­ty intel­lec­tu­al pro­per­ty; AMD depends on third-par­ty com­pa­nies for the design, manu­fac­tu­re and sup­ply of mother­boards, BIOS soft­ware and other com­pu­ter plat­form com­pon­ents to sup­port its busi­ness; if AMD loses Micro­soft Corporation’s sup­port for its pro­ducts or other soft­ware ven­dors do not design and deve­lop soft­ware to run on AMD’s pro­ducts, its abi­li­ty to sell AMD pro­ducts could be mate­ri­al­ly adver­se­ly affec­ted; AMD may incur future impairments of good­will; uncer­tain­ties invol­ving the orde­ring and ship­ment of AMD’s pro­ducts could mate­ri­al­ly adver­se­ly affect AMD; AMD’s reli­an­ce on third-par­ty dis­tri­bu­tors and AIB part­ners sub­jects AMD to cer­tain risks; AMD’s ina­bi­li­ty to con­ti­nue to attract and retain qua­li­fied per­son­nel may hin­der its pro­duct deve­lo­p­ment pro­grams; in the event of a chan­ge of con­trol, AMD may not be able to repurcha­se  all of the out­stan­ding debt as requi­red by the app­li­ca­ble inden­tures and its Secu­red Revol­ving Line of Credit, which would result in a default under the inden­tures and its Secu­red Revol­ving Line of Credit; the semi­con­duc­tor indus­try is high­ly cycli­cal and has expe­ri­en­ced seve­re down­turns that have mate­ri­al­ly adver­se­ly affec­ted, and may con­ti­nue to mate­ri­al­ly adver­se­ly affect, AMD’s busi­ness in the future; AMD’s busi­ness is depen­dent upon the pro­per func­tio­n­ing of its inter­nal busi­ness pro­ces­ses and infor­ma­ti­on sys­tems and modi­fi­ca­ti­on or inter­rup­ti­on of such sys­tems may dis­rupt AMD’s busi­ness, pro­ces­ses and inter­nal con­trols; data breaches and cyber-attacks could com­pro­mi­se AMD’s intel­lec­tu­al pro­per­ty or other sen­si­ti­ve infor­ma­ti­on and cau­se signi­fi­cant dama­ge to AMD’s busi­ness and repu­ta­ti­on; AMD’s ope­ra­ting results are sub­ject to quar­ter­ly and sea­so­nal sales pat­terns; if essen­ti­al equip­ment or mate­ri­als are not avail­ab­le to manu­fac­tu­re AMD’s pro­ducts, AMD could be mate­ri­al­ly adver­se­ly affec­ted; if AMD’s pro­ducts are not com­pa­ti­ble with some or all indus­try-stan­dard soft­ware and hard­ware, AMD could be mate­ri­al­ly adver­se­ly affec­ted; cos­ts rela­ted to defec­ti­ve pro­ducts could have a mate­ri­al adver­se effect on AMD; if AMD fails to main­tain the effi­ci­en­cy of its sup­ply chain as it responds to chan­ges in cus­to­mer demand for AMD’s pro­ducts, AMD’s busi­ness could be mate­ri­al­ly adver­se­ly affec­ted; AMD out­sour­ces to third par­ties cer­tain sup­ply-chain logistics func­tions, inclu­ding por­ti­ons of  its pro­duct dis­tri­bu­ti­on, trans­por­ta­ti­on manage­ment and infor­ma­ti­on tech­no­lo­gy sup­port ser­vices; acqui­si­ti­ons could dis­rupt its busi­ness, harm its finan­cial con­di­ti­on and ope­ra­ting results or dilu­te, or adver­se­ly affect the pri­ce of, its com­mon stock; AMD’s world­wi­de ope­ra­ti­ons are sub­ject to poli­ti­cal, legal and eco­no­mic risks and natu­ral dis­as­ters, which could have a mate­ri­al adver­se effect on AMD; world­wi­de poli­ti­cal con­di­ti­ons may adver­se­ly affect demand for AMD’s pro­ducts; unfa­vor­able cur­ren­cy exchan­ge rate fluc­tua­tions could adver­se­ly affect AMD; AMD’s ina­bi­li­ty to effec­tively con­trol the sales of its pro­ducts on the gray mar­ket could have a mate­ri­al adver­se effect on AMD; if AMD can­not ade­qua­te­ly pro­tect its tech­no­lo­gy or other intel­lec­tu­al pro­per­ty in the United Sta­tes and abroad, through patents, copy­rights, tra­de secrets, trade­marks and other mea­su­res, AMD may lose a com­pe­ti­ti­ve advan­ta­ge and incur signi­fi­cant expen­ses; AMD is par­ty to liti­ga­ti­on and may beco­me a par­ty to other claims or liti­ga­ti­on that could cau­se it to incur sub­stan­ti­al cos­ts or pay sub­stan­ti­al dama­ges or pro­hi­bits AMD from sel­ling its pro­ducts; a varie­ty of envi­ron­men­tal laws that AMD are sub­ject to could result in addi­tio­nal cos­ts and lia­bi­li­ties; hig­her health care cos­ts and labor cos­ts could adver­se­ly affect AMD’s busi­ness; and, AMD’s busi­ness is sub­ject to poten­ti­al tax lia­bi­li­ties. Inves­tors are urged to review in detail the risks and uncer­tain­ties in the Company’s Secu­ri­ties and Exchan­ge Com­mis­si­on filings, inclu­ding but not limi­ted to AMD’s Quar­ter­ly Report on Form 10‑Q for the quar­ter ended March 28, 2015.

AMD, the AMD Arrow logo, Opte­ron, Rade­on, and com­bi­na­ti­ons the­re­of, are trade­marks of Advan­ced Micro Devices, Inc. Other names are for infor­ma­tio­nal pur­po­ses only and may be trade­marks of their respec­ti­ve owners.

[i] Based on inter­nal AMD esti­ma­tes for 2016 Gra­phics Core Next GPU com­pa­red to pre­vious genera­ti­on GPU