AMD EPYC Expands Its Leadership at the Foundation of AI

(NASDAQ:AMD) AMD announced that 5th Gen AMD EPYC processors are powering the host infrastructure for Google Cloud TPU 8tx, which is the first cloud Tensor Processing Unit (TPU) system to deliver hardware-enforced confidential computing. The collaboration between AMD and Google Cloud combines AMD EPYC CPU performance, AMD Infinity Guard security capabilities, and x86 software compatibility with Google Cloud TPU AI acceleration to support enterprise inference, fine-tuning, and reinforcement learning workloads. Google Cloud’s confidential computing architecture on TPU 8tx, supported by 5th Gen AMD EPYC host processors, enables organizations to run sensitive AI workloads at scale in the cloud with enhanced data protection. The deployment extends the use of AMD EPYC processors as a foundation for accelerated AI infrastructure, including systems built with GPUs and custom accelerators. In TPU 8tx systems, 5th Gen AMD EPYC processors manage workload orchestration, data preparation, and high-throughput communication with TPU accelerators. The system utilizes AMD Secure Encrypted Virtualization (SEV) capabilities in the AMD EPYC CPU, which, together with the TPU, extends confidential computing protection beyond the CPU to connected accelerators. This helps protect sensitive data as it moves among them, keeping customer prompts, model weights, and intermediate data encrypted in CPU memory and in transit among the host and accelerators, with hardware isolation during accelerator execution. AMD EPYC processors also support the broader Google Cloud confidential computing portfolio, including Confidential VMs, Confidential GKE, Confidential Space, Confidential Managed Service for Apache Spark, and Confidential Dataflow. AMD EPYC processors are the host CPU of choice for more than 10 leading hyperscalers and frontier AI labs, spanning GPUs and custom AI accelerator ASICs. AMD EPYC processors support systems using AMD Instinct GPUs, Nvidia GPUs, and custom silicon, providing customers with a proven CPU platform across accelerator choices and the established x86 software ecosystem. AMD and Google Cloud have collaborated across multiple generations of EPYC processors, supporting general-purpose, compute-intensive, storage-intensive, and accelerated workloads, including Google Cloud Compute Engine C4D, N4D, H4D, Z4D, and G4 virtual machines. The companies have also worked together on security technology, including deep reviews of AMD security processor firmware by Google security experts. The expanded collaboration with TPU 8tx helps enterprises run modern reasoning and agentic AI workloads in production without compromising on data protection. Dan McNamara, senior vice president and general manager, Compute and Enterprise AI, AMD, stated that AMD has built leadership capabilities in performance, memory bandwidth, and I/O across generations of EPYC, backed by years of engineering collaboration with leading cloud providers. Mark Lohmeyer, vice president and general manager for AI and Computing Infrastructure, Google Cloud, stated that pairing 5th Gen AMD EPYC processors with the 8th-generation TPU architecture brings hardware-enforced confidential computing to cloud TPUs for the first time, providing silicon-level data protection and low-latency performance for modern reasoning models.

AMD Reports Third Quarter 2026 Financial Results

(NASDAQ:AMD) Advanced Micro Devices, Inc. announced financial results for the third quarter of 2026. Third quarter revenue was $13.4 billion, representing a 45% year-over-year increase and a 16% sequential increase from Q2'26. GAAP gross margin was 54%, with gross profit of $7,210 million, and operating income of $2,832 million, up 123% year-over-year. Net income was $2,428 million, and diluted earnings per share was $1.46, up 95% year-over-year. On a non-GAAP basis, gross margin was 56%, gross profit was $7,483 million, operating income was $3,923 million, net income was $3,471 million, and diluted earnings per share was $2.09, up 74% year-over-year. Operating expenses on a GAAP basis were $4,378 million, up 25% year-over-year, and on a non-GAAP basis were $3,560 million, up 29% year-over-year. The Data Center segment delivered record revenue of $8.5 billion, up 97% year-over-year, driven by strong demand for AMD EPYC processors and the launch of AMD Instinct MI450 Series GPUs. Client and Gaming segment revenue was $3.7 billion, down 8% year-over-year; within this, Client business revenue was $2.9 billion, up 7%, and Gaming business revenue was $773 million, down 40%. Embedded segment revenue was $1.1 billion, up 29% year-over-year, led by growth in aerospace and defense, automotive, communications, and industrial end markets. AMD solutions are powering superintelligence infrastructure at scale for Anthropic, Meta, Microsoft, OpenAI, and Oracle Cloud Infrastructure, with the first AMD Helios rackscale solutions powered by AMD Instinct MI450 Series GPUs and 6th Gen AMD EPYC CPUs. HPE announced Vultr will deploy the first AMD Helios by HPE systems. Oracle Cloud Infrastructure announced OCI Compute E7 cloud compute instances powered by 6th Gen AMD EPYC CPUs. AMD introduced the AMD Helion reference architecture for rack-scale agentic systems. AMD ROCm 10 was released, bringing AI-native developer experiences and performance improvements. The EuroHPC JU selected AMD Instinct MI430X GPUs and 6th Gen AMD EPYC processors to power the LUMI-AI supercomputer. Google Cloud and Microsoft announced general availability of storage-optimized cloud instances powered by 5th Gen AMD EPYC CPUs. AMD announced agreements to acquire World Labs and Taalas, expanding capabilities in model research and inference silicon technology. AMD began sampling the AMD Versal AI Core XQRVC1902 space-grade adaptive SoC. Kodiak AI's next generation autonomous truck platform is powered by AMD EPYC processors. AMD introduced AMD Ross, an agentic tool for embedded system design. The AMD Ryzen AI Halo platform powered by Ryzen AI Max PRO 400 Series processors is now available, with expanded system availability from HP, Lenovo, Framework, and GMKtec. AMD debuted the Threadripper Halo Station, powered by AMD Threadripper 9955WX CPU and AMD Instinct MI350p GPU. For the fourth quarter of 2026, AMD expects revenue to be approximately $17 billion, plus or minus 3%, representing year-over-year growth of approximately 66% and a sequential increase of approximately 27%. Non-GAAP gross margin is expected to be approximately 55%. AMD will hold a conference call at 2:00 p.m. PT (5:00 p.m. ET) to discuss these results.

AMD and Meta Advance Strategic Partnership to Power Meta’s Superintelligence Infrastructure

(NASDAQ:AMD) Advanced Micro Devices, Inc. (AMD) announced an expansion of its strategic partnership with Meta, highlighting that AMD Helios rackscale solutions are now running at Meta. AMD EPYC processors power Meta’s Muse AI agent, and AMD technologies provide Day-0 support for Meta models including Muse Spark Open and Muse Glimmer. The partnership builds on years of co-design and collaboration between AMD and Meta across AMD EPYC processors, AMD Instinct GPUs, AMD Pensando networking, and AMD ROCm AI infrastructure. Lisa Su, Chair and CEO of AMD, stated that the partnership is being taken to a new scale in the superintelligence era, with both companies building and deploying infrastructure at gigawatt scale. Mark Zuckerberg, founder and CEO of Meta, emphasized AMD’s role in powering the compute for Meta’s frontier models and enabling investments in computing power for personal superintelligence. Initial AMD Helios rackscale solutions are installed and being tested by Meta, with broader deployment expected in the near future. Meta has deployed millions of AMD EPYC processors across multiple generations and is a lead customer for 6th Gen EPYC CPUs. The companies are collaborating on future generations of EPYC processors, including a project named “Verano.” AMD Instinct GPUs are used in production at Meta for training, ranking, and recommendation engines, and Meta was an early definition customer for the AMD Instinct MI450 architecture. Meta will deploy a custom AMD Instinct GPU optimized for its workloads. The collaboration is informing future AMD platforms, including the AMD Instinct MI500 series GPUs and next-generation rack-scale systems. AMD and Meta have advanced ROCm through PyTorch to enable developers to leverage AMD GPUs out of the box. AMD delivered Day-0 support for Meta's Muse Spark Open models on AMD Instinct GPUs and for Muse Glimmer on AMD Ryzen AI PCs and AMD Radeon GPUs. The companies have expanded software collaboration to large-scale AI training, optimizing recommendation models on AMD Instinct MI350X GPUs and contributing improvements to PyTorch, Triton, and ROCm. The companies are working together across silicon, software, and systems to address the demands of operating AI infrastructure for billions of people. Product roadmaps and engineering decisions are aligned around current and future Meta workloads, evolving the collaboration into building and deploying integrated AI systems at gigawatt scale. In addition, AMD will invest $1 billion in Meta’s equity offering.

AMD to Acquire World Labs to Advance the Future of AI Compute

(NASDAQ:AMD) Advanced Micro Devices, Inc. (AMD) announced that it has entered into a definitive agreement to acquire World Labs, an AI model and research lab led by Dr. Fei-Fei Li. The acquisition will bring a team of researchers and model experts to AMD, enhancing its ability to develop AI hardware, software, and systems tailored to emerging models and applications. World Labs is headquartered in San Francisco and specializes in spatial-intelligence models that generate, reconstruct, and simulate interactive 3D environments from text, image, and video inputs, as well as technology for robotic learning and simulation. Dr. Lisa Su, chair and CEO of AMD, stated that the addition of Fei-Fei Li and the World Labs team will help AMD develop the hardware, software, and systems for the next generation of AI and strengthen the open AI ecosystem. Dr. Fei-Fei Li, co-founder and CEO of World Labs, commented that joining AMD will provide the resources and engineering depth to accelerate research and define infrastructure for the next era of AI. Following the close of the transaction, the World Labs team will continue to focus on advancing AI model research. Dr. Fei-Fei Li will join AMD as executive vice president and chief scientist, reporting to Dr. Lisa Su. The transaction is structured as an all-stock deal valued at approximately $8.2 billion. The acquisition is expected to close by the end of 2026, subject to regulatory approvals and other customary closing conditions. The acquisition is intended to advance AMD’s strategy to deliver AI infrastructure for an open ecosystem. The announcement includes forward-looking statements regarding the anticipated benefits of the acquisition and the expected timing of closing. The transaction is subject to regulatory approvals and other customary closing conditions.

AMD Reports First Quarter 2026 Financial Results

AMD (NASDAQ:AMD) reported its financial results for the first quarter of 2026, with revenue of $10.3 billion, gross margin of 53%, operating income of $1.5 billion, net income of $1.4 billion, and diluted earnings per share of $0.84. On a non-GAAP basis, gross margin was 55%, operating income was $2.5 billion, net income was $2.3 billion, and diluted earnings per share was $1.37. Data Center segment revenue reached $5.8 billion, up 57% year-over-year, and the company highlighted strong demand for AI infrastructure and high-performance CPUs and accelerators. AMD expects second quarter 2026 revenue to be approximately $11.2 billion, plus or minus $300 million, representing year-over-year growth of approximately 46%. The company also announced several strategic collaborations and product launches.