AMD Gains Ground Over Intel with Strong Data Center Growth and AI Momentum
Advanced Micro Devices (NASDAQ: AMD) is outpacing Intel (NASDAQ: INTC) in the data center market, driven by a 107% year-over-year growth in its Data Center segment. This performance contrasts sharply with Intel's $11 billion GAAP quarterly loss and challenges from its struggling foundry business, which lost $2.1 billion in one quarter. AMD’s fabless model allows for higher gross margins (56%) compared to Intel's 41.8%, while the company continues gaining x86 server revenue share with strong EPYC CPU adoption across cloud and enterprise markets. AMD is also securing key AI infrastructure contracts, including a two-gigawatt commitment from Anthropic using MI450 GPUs and Microsoft’s deployment of Helios on Azure. These wins position AMD as the second-largest player in AI accelerators behind NVIDIA. Meanwhile, Intel faces capacity constraints with its 18A foundry technology expected to enter risk production by late 2027 at best.
Topics: Data Center Gross Margin Comparison x86 Server Market Share