AMD eyes 80% data center growth ahead of August earnings
Advanced Micro Devices is poised to report surging data center revenue on August 4, with investors watching for further guidance upgrades driven by massive new AI chip contracts from OpenAI and Meta.
Advanced Micro Devices will publish its second-quarter results for the period ended June 30 on August 4. Analysts and investors are anticipating another sharp upward revision to the company's data center growth targets as the chipmaker gains ground in the artificial intelligence infrastructure market.
The company's data center division has rapidly become its primary revenue engine, driven by the demand for chips used in AI training and inference. In the first quarter of 2026, the segment generated $5.8 billion, a 57% year-over-year increase that accounted for more than half of AMD's total $10.3 billion in quarterly revenue. This expansion is directly challenging the market position Nvidia once held with its H100 processor.
CEO Lisa Su has steadily increased her long-term outlook for the business over recent quarters. In February, she projected 60% annual revenue growth for the data center segment over the coming years. By May, she had raised that target to 80%, setting a high bar for the upcoming report.
MI450 drives hyperscaler demand
The anticipated guidance upgrade is underpinned by early demand for the MI450 series GPUs, scheduled to ship later this year. These customizable chips are designed to operate within AMD's new Helios data center rack. The integrated networking and software allow the system to deliver 36 times the performance of the company's previous generation.
Major cloud and AI providers are already committing capital to the new architecture. OpenAI and Meta Platforms have each signed agreements to deploy 6 gigawatts of AMD computing power over the next few years, beginning with the MI450. During the May 5 earnings call, Su noted that "several major customers were enquiring about large-scale deployments of MI450 GPUs."
AMD initially broke into the AI GPU market in 2023 with the MI300X, winning key contracts from Microsoft and Oracle. Subsequent hardware releases like the MI350 and MI400 expanded that customer footprint further. For market participants, the August 4 report is a critical checkpoint to confirm whether AMD can maintain its 38% overall revenue growth while funding the development required to sustain a multi-vendor AI market.
