AMD Details Strategy to Deliver Best-in-Class Growth and Strong Shareholder Returns at 2020 Financial Analyst Day

 

— High-per­for­mance com­pu­ting lea­der­ship, dis­rup­ti­ve solu­ti­ons and sus­tained exe­cu­ti­on to dri­ve signi­fi­cant growth across $79 bil­li­on data cen­ter, PC and gam­ing mar­kets1 —

SANTA CLARA, Calif., March 05, 2020 (GLOBE NEWSWIRE) — Today at its Finan­cial Ana­lyst Day, AMD (NASDAQ: AMD) detail­ed plans for its next pha­se of growth dri­ven by mul­ti-gene­ra­tio­nal high-per­for­mance CPU and GPU road­maps and aggres­si­ve tech­no­lo­gy invest­ments desi­gned to deli­ver lea­der­ship pro­ducts and dis­rup­ti­ve solutions. 

Our mul­ti-gene­ra­tio­nal com­pu­ting and gra­phics road­maps are desi­gned to signi­fi­cant­ly acce­le­ra­te reve­nue growth and deli­ver strong share­hol­der returns,” said Dr. Lisa Su, AMD pre­si­dent and CEO. “We are focu­sed on relent­less­ly exe­cu­ting our lea­der­ship IP road­maps and aggres­si­ve­ly intro­du­cing advan­ced tech­no­lo­gies to dri­ve sus­tained mar­ket share gains across the lar­ge and gro­wing high-per­for­mance PC, gam­ing and data cen­ter markets.” 

Tech­no­lo­gy Updates
Having ship­ped more than 260 mil­li­on “Zen” x86 cores in our AMD Ryzen™ and AMD EPYC™ pro­ces­sors, AMD shared plans to build on this suc­cess with next-gene­ra­ti­on CPU core, pack­a­ging and inter­con­nect innovations:

  • AMD plans to intro­du­ce the first pro­ces­sors based on its next-gene­ra­ti­on “Zen 3” core in late 2020. The “Zen 4” core is curr­ent­ly in design and is tar­ge­ted to use advan­ced 5nm pro­cess technology.
  • AMD unvei­led plans to expand its chip­let and die stack­ing lea­der­ship, inclu­ding new “X3D” pack­a­ging that com­bi­nes chip­lets and hybrid 2.5D and 3D die stack­ing to deli­ver more than a 10x increase in band­width density.
  • AMD announ­ced its upco­ming 3rd Gene­ra­ti­on AMD Infi­ni­ty Archi­tec­tu­re with opti­mi­zed CPU and GPU memo­ry cohe­ren­cy that can enable signi­fi­cant per­for­mance impro­ve­ments and sim­pli­fy the soft­ware pro­gramming requi­red for acce­le­ra­ted com­pu­ting solu­ti­ons by allo­wing the CPU and GPU to seam­less­ly and coher­ent­ly share the same memory.
  • AMD is buil­ding on its strong pro­duct secu­ri­ty port­fo­lio with expan­ded fea­tures. AMD announ­ced it joi­n­ed the Con­fi­den­ti­al Com­pu­ting Con­sor­ti­um, a group of lea­ding hard­ware and soft­ware com­pa­nies working to clo­se gaps to pro­tect data through its enti­re lifecycle.

To address the gro­wing num­ber and diver­si­ty of GPU workloads, AMD announ­ced a mul­ti-gene­ra­tio­nal road­map to deli­ver two opti­mi­zed gra­phics archi­tec­tures for gam­ing and data cen­ter com­pu­te markets:

  • The AMD Rade­on™ DNA (AMD RDNA) archi­tec­tu­re was desi­gned for gam­ing and is curr­ent­ly powe­ring the award-win­ning AMD Rade­on™ RX 5000 series GPUs. The next-gene­ra­ti­on AMD RDNA 2 archi­tec­tu­re is plan­ned to deli­ver a 50% per­for­mance-per-watt impro­ve­ment over the first-gene­ra­ti­on AMD RDNA archi­tec­tu­re. It will sup­port hard­ware-acce­le­ra­ted ray tra­cing, varia­ble rate shad­ing (VRS) and other advan­ced fea­tures. The first AMD RDNA 2‑based pro­ducts are expec­ted to launch in late 2020.
  • AMD unvei­led its new AMD Com­pu­te DNA (AMD CDNA) archi­tec­tu­re, desi­gned to acce­le­ra­te data cen­ter com­pu­te workloads. The first-gene­ra­ti­on AMD CDNA archi­tec­tu­re, plan­ned to launch later this year, includes 2nd Gene­ra­ti­on AMD Infi­ni­ty Archi­tec­tu­re to enhan­ce GPU to GPU con­nec­ti­vi­ty and is opti­mi­zed for machi­ne lear­ning and high-per­for­mance com­pu­ting appli­ca­ti­ons. The fol­low-up AMD CDNA 2 archi­tec­tu­re will sup­port 3rd Gene­ra­ti­on AMD Infi­ni­ty Archi­tec­tu­re to enable next gene­ra­ti­on exas­ca­le-class supercomputers. 
  • Expan­ding on pre­vious gene­ra­ti­ons of the ROCm open source soft­ware plat­form for the data cen­ter, AMD plans to intro­du­ce ROCm 4.0 later this year as a com­ple­te soft­ware solu­ti­on for high-per­for­mance com­pu­ting exas­ca­le sys­tems and machi­ne lear­ning workloads.

Data Cen­ter Mar­ket Updates

Sin­ce 2017, AMD has deli­ver­ed signi­fi­cant inno­va­ti­on to the data cen­ter mar­ket. AMD out­lined an aggres­si­ve road­map of lea­der­ship pro­ducts, buil­ding on the exe­cu­ti­on of its first and second gene­ra­ti­on AMD EPYC ser­ver pro­ces­sors, and detail­ed its plans to dri­ve con­ti­nuous inno­va­ti­on across a wide ran­ge of gro­wing mar­kets within the data center:

  • AMD is powe­ring the future of exas­ca­le com­pu­ting with its CPU, GPU, inter­con­nects and soft­ware pro­ducts, inclu­ding the recent­ly announ­ced El Capi­tan super­com­pu­ter at Law­rence Liver­mo­re Natio­nal Labo­ra­to­ry. Expec­ted to come online in 2023, El Capi­tan is expec­ted to deli­ver more than 2 exa­FLOPs of dou­ble-pre­cis­i­on per­for­mance, making it more powerful than today’s 200 fas­test super­com­pu­ters combined.
  • AMD is con­ti­nuing to gain trac­tion with its 2nd Gene­ra­ti­on AMD EPYC™ pro­ces­sors in enter­pri­se, cloud and HPC mar­kets based on deli­ve­ring per­for­mance lea­der­ship and TCO advan­ta­ges across the most important enter­pri­se and cloud workloads. In 2020 we expect more than 150 AMD EPYC pro­ces­sor-powered cloud ins­tances and 140 ser­ver plat­forms to be available.
  • AMD is unlo­cking acce­le­ra­ted com­pu­ting with new tech­no­lo­gies inclu­ding AMD CDNA archi­tec­tu­re, 3rd Gene­ra­ti­on Infi­ni­ty Archi­tec­tu­re and the ROCm 4.0 soft­ware plat­form, all of which will sup­port the AMD-powered Fron­tier and El Capi­tan supercomputers.

Com­pu­ting and Gra­phics Mar­ket Updates

AMD is well posi­tio­ned to dri­ve sus­tained growth in the PC and gam­ing mar­kets with its lea­der­ship AMD Ryzen™ pro­ces­sors, AMD Rade­on™ gra­phics and semi-cus­tom pro­ducts. Sin­ce 2017, AMD has near­ly dou­bled both cli­ent unit ship­ments and mar­ket share, built off a broad port­fo­lio of per­for­mance-lea­ding desk­top, high-end desk­top (HEDT) and note­book pro­ces­sors. In the gam­ing seg­ment, AMD part­ners with world-class brands to bring AMD Rade­on gra­phics to more than 500 mil­li­on gamers on the most popu­lar devices, with the oppor­tu­ni­ty to address 2.5 bil­li­on gamers world­wi­de. With Micro­soft and Sony, AMD has estab­lished long-term rela­ti­onships to con­ti­nue mar­ket lea­der­ship as the num­ber one sili­con pro­vi­der for game consoles.

In 2020 and bey­ond, AMD sees signi­fi­cant oppor­tu­ni­ties to dri­ve con­tin­ued growth across its com­pu­ting and gra­phics portfolio:

  • AMD expects to grow its per­for­mance lea­der­ship with the ramp of its 7nm “Zen 2”-based 3rd Gene­ra­ti­on AMD Ryzen™ pro­ces­sors desi­gned spe­ci­fi­cal­ly for desk­tops and note­books across the con­su­mer and com­mer­cial seg­ments. Built to opti­mi­ze the user expe­ri­ence in the­se mar­kets, the newest AMD Ryzen pro­ces­sors deli­ver out­stan­ding per­for­mance, respon­si­ve­ness, bat­tery-life and secu­ri­ty fea­tures for the most deman­ding workloads. AMD is on track to bring increased per­for­mance to the gam­ing, con­tent crea­ti­on and pro­duc­ti­vi­ty mar­kets when it deli­vers the first “Zen 3”-based AMD Ryzen™ pro­duct in 2020.
  • AMD plans to deli­ver a full stack of high-per­for­mance, AMD RDNA archi­tec­tu­re-powered gra­phics pro­ducts to fur­ther expand the AMD Rade­on install base. Exten­ding the out­stan­ding per­for­mance of the Rade­on RX 5000 series, AMD RDNA 2‑based “Navi 2X” GPUs will bring uncom­pro­mi­sed 4K gam­ing, new fea­tures inclu­ding hard­ware-based ray tra­cing sup­port and a signi­fi­cant per­for­mance uplift.

State­ment on COVID-19
As the out­break of COVID-19 con­ti­nues to evol­ve, the health and well­be­ing of AMD employees, cus­to­mers, part­ners and the mem­bers of the com­mu­ni­ties in which we ope­ra­te are of the utmost importance. AMD great­ly app­re­cia­tes the com­mit­ment of the indi­vi­du­als and orga­niza­ti­ons working tire­less­ly to address this public health situa­ti­on globally.

At its 2020 Finan­cial Ana­lyst Day, AMD rei­te­ra­ted its first quar­ter 2020 finan­cial gui­dance.  AMD expects the impact from COVID-19 in the first quar­ter to be mode­st, poten­ti­al­ly resul­ting in reve­nue coming in at the lower end of the gui­dance of appro­xi­m­ate­ly $1.8 bil­li­on, plus or minus $50 mil­li­on. Full year 2020 finan­cial gui­dance remains unchanged. 

Sup­port­ing Resources

  • Watch the replay of the event and view exe­cu­ti­ve pre­sen­ta­ti­ons here
  • Fol­low AMD News on Twit­ter to stay up to date

About AMD
For more than 50 years AMD has dri­ven inno­va­ti­on in high-per­for­mance com­pu­ting, gra­phics and visua­liza­ti­on tech­no­lo­gies ― the buil­ding blocks for gam­ing, immersi­ve plat­forms and the data cen­ter. Hundreds of mil­li­ons of con­su­mers, lea­ding For­tu­ne 500 busi­nesses and cut­ting-edge sci­en­ti­fic rese­arch faci­li­ties around the world rely on AMD tech­no­lo­gy dai­ly to impro­ve how they live, work and play. AMD employees around the world are focu­sed on buil­ding gre­at pro­ducts that push the boun­da­ries of what is pos­si­ble. For more infor­ma­ti­on about how AMD is enab­ling today and inspi­ring tomor­row, visit the AMD (NASDAQ:AMDweb­siteblogFace­book and Twit­ter pages. 

Cau­tio­na­ry State­ment  
This press release con­ta­ins for­ward-loo­king state­ments con­cer­ning Advan­ced Micro Devices, Inc. (AMD) such as AMD’s expec­ted impact of COVID-19 on AMD’s first quar­ter of 2020 and fis­cal 2020 finan­cial out­look; the data cen­ter, PC and gam­ing total addressa­ble mar­kets; AMD’s expec­ta­ti­ons regar­ding future reve­nue growth and share­hol­der returns; AMD’s abili­ty to exe­cu­te its lea­der­ship IP road­maps and intro­du­ce advan­ced tech­no­lo­gies to dri­ve sus­tained mar­ket share gains across high-per­for­mance PC, gam­ing and data cen­ter mar­kets; the fea­tures, func­tion­a­li­ty, bene­fits, expec­ta­ti­ons, avai­la­bi­li­ty, timing of AMD future pro­ducts inclu­ding, AMD’s “Zen 3” and “Zen 4” archi­tec­tu­re cores,”X3D” pack­a­ging, 3rd Gene­ra­ti­on Infi­ni­ty Archi­tec­tu­re, next gene­ra­ti­on AMD RDNA 2 archi­tec­tu­re, AMD Com­pu­te DNA archi­tec­tu­re, ROCm 4.0 open source soft­ware plat­form, “Zen 3” ‑based Ryzen™ pro­ces­sor and RDNA 2‑based “Navi 2XGPU; and the fea­tures, func­tion­a­li­ty, expec­ta­ti­ons, avai­la­bi­li­ty and timing of El Capi­tan exas­ca­le sys­tem; the expec­ted num­ber of AMD EPYC™ pro­ces­sor-powered cloud ins­tances and ser­ver plat­forms; the abili­ty to ramp “Zen 2” ‑based 3rd Gen Ryzen pro­ces­sors, 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 pre­sen­ta­ti­on and invol­ve risks and uncer­tain­ties that could cau­se actu­al results to dif­fer mate­ri­al­ly from cur­rent expec­ta­ti­ons. Such state­ments are sub­ject to cer­tain known and unknown risks and uncer­tain­ties, many of which are dif­fi­cult to pre­dict and gene­ral­ly bey­ond AMD’s con­trol, that could cau­se actu­al results and other future events to dif­fer mate­ri­al­ly from tho­se expres­sed in, or impli­ed or pro­jec­ted by, the for­ward-loo­king infor­ma­ti­on and state­ments. Mate­ri­al fac­tors that could cau­se actu­al results to dif­fer mate­ri­al­ly from cur­rent expec­ta­ti­ons include, wit­hout limi­ta­ti­on, the fol­lo­wing: Intel Corporation’s domi­nan­ce of the micro­pro­ces­sor mar­ket and its aggres­si­ve busi­ness prac­ti­ces; the abili­ty of third par­ty manu­fac­tu­r­ers to manu­fac­tu­re AMD’s pro­ducts on a time­ly basis in suf­fi­ci­ent quan­ti­ties and using com­pe­ti­ti­ve tech­no­lo­gies; expec­ted manu­fac­tu­ring yields for AMD’s pro­ducts; AMD’s 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; AMD’s abili­ty to gene­ra­te suf­fi­ci­ent reve­nue and ope­ra­ting cash flow or obtain exter­nal finan­cing for rese­arch and deve­lo­p­ment or other stra­te­gic invest­ments; the loss of a signi­fi­cant cus­to­mer; AMD’s abili­ty to gene­ra­te reve­nue from its semi-cus­tom SoC pro­ducts; glo­bal eco­no­mic uncer­tain­ty; poli­ti­cal, legal and eco­no­mic risks, natu­ral dis­as­ters, and public health risks, inclu­ding the impact of COVID-19; govern­ment actions and regu­la­ti­ons such as export admi­nis­tra­ti­on regu­la­ti­ons, tariffs and trade pro­tec­tion mea­su­res may limit our abili­ty export our pro­ducts to cer­tain cus­to­mers; poten­ti­al secu­ri­ty vul­nerabi­li­ties; poten­ti­al IT outa­ges, data loss, data brea­ches and cyber-attacks; the abili­ty of a  third par­ty manu­fac­tu­rer to satis­fy AMD’s manu­fac­tu­ring requi­re­ments; uncer­tain­ties invol­ving the orde­ring and ship­ment of AMD’s pro­ducts; quar­ter­ly and sea­so­nal sales pat­terns; the rest­ric­tions impo­sed by agree­ments gover­ning AMD’s notes and the secu­red cre­dit faci­li­ty; the com­pe­ti­ti­ve mar­kets in which AMD’s pro­ducts are sold; the poten­ti­al dilu­ti­ve effect if the 2.125% Con­ver­ti­ble Seni­or Notes due 2026 are con­ver­ted; the mar­ket con­di­ti­ons of the indus­tries in which AMD pro­ducts are sold; AMD’s reli­ance on third-par­ty intellec­tu­al pro­per­ty to design and intro­du­ce new pro­ducts in a time­ly man­ner; AMD’s reli­ance on third-par­ty com­pa­nies for the design, manu­fac­tu­re and sup­p­ly of mother­boards, soft­ware and other com­pu­ter plat­form com­pon­ents; AMD’s reli­ance on Micro­soft Cor­po­ra­ti­on and other soft­ware ven­dors’ sup­port to design and deve­lop soft­ware to run on AMD’s pro­ducts; AMD’s reli­ance on third-par­ty dis­tri­bu­tors and add-in-board part­ners; future impairm­ents of good­will and tech­no­lo­gy licen­se purcha­ses; AMD’s abili­ty to attract and retain qua­li­fied per­son­nel; AMD’s indeb­ted­ness; AMD’s abili­ty to gene­ra­te suf­fi­ci­ent cash to ser­vice its debt obli­ga­ti­ons or meet its working capi­tal requi­re­ments; AMD’s abili­ty to repurcha­se its out­stan­ding debt in the event of a chan­ge of con­trol; the cycli­cal natu­re of the semi­con­duc­tor indus­try; the impact of acqui­si­ti­ons, joint ven­tures and/or invest­ments on AMD’s busi­ness; the impact of modi­fi­ca­ti­on or inter­rup­ti­on of AMD’s inter­nal busi­ness pro­ces­ses and infor­ma­ti­on sys­tems; the avai­la­bi­li­ty of essen­ti­al equip­ment, mate­ri­als or manu­fac­tu­ring pro­ces­ses; com­pa­ti­bi­li­ty of AMD’s pro­ducts with some or all indus­try-stan­dard soft­ware and hard­ware; cos­ts rela­ted to defec­ti­ve pro­ducts; the effi­ci­en­cy of AMD’s sup­p­ly chain; AMD’s abili­ty to rely on third par­ty sup­p­ly-chain logi­stics func­tions; AMD’s stock pri­ce vola­ti­li­ty; world­wi­de poli­ti­cal con­di­ti­ons; unfa­vorable cur­ren­cy exch­an­ge rate fluc­tua­tions; AMD’s abili­ty to effec­tively con­trol the sales of its pro­ducts on the gray mar­ket; AMD’s abili­ty to ade­qua­te­ly pro­tect its tech­no­lo­gy or other intellec­tu­al pro­per­ty; cur­rent and future claims and liti­ga­ti­on; poten­ti­al tax lia­bi­li­ties; and envi­ron­men­tal laws, con­flict mine­rals-rela­ted pro­vi­si­ons and other laws or regu­la­ti­ons. Inves­tors are urged to review in detail the risks and uncer­tain­ties in AMD’s Secu­ri­ties and Exch­an­ge Com­mis­si­on filings, inclu­ding but not limi­t­ed to AMD’s Annu­al Report on Form 10‑K for the year ended Decem­ber 28, 2019.

AMD, the AMD Arrow logo, EPYC, Rade­on, Ryzen 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.

Zen,” “Zen 3” and “Zen 4” are code­na­mes for AMD archi­tec­tures and are not pro­duct names.

_______________
1$79B TAM based on AMD inter­nal esti­ma­tes, March 2020.

Cont­act:
Sarah Young­bau­er
AMD Communications
(512) 602‑3028
Sarah.Youngbauer@amd.com

Lau­ra Graves
AMD Inves­tor Relations
(408) 749‑5467
Laura.Graves@amd.com