Insightful Word
  • Investing
  • Stock
  • Economy
  • Politics
  • Investing
  • Stock
  • Economy
  • Politics
No Result
View All Result
Insightful Word
No Result
View All Result
Home Investing

Can AMD surpass Nvidia in market dominance?

admin by admin
March 27, 2025
in Investing
0
Can AMD surpass Nvidia in market dominance?
0
SHARES
4
VIEWS
Share on FacebookShare on Twitter

Advanced Micro Devices Inc (NASDAQ: AMD) is laser focused on expanding its footprint in artificial intelligence, but the multinational continues to be a distant second to Nvidia Corp (NASDAQ: NVDA) in that space.

Nvidia has already become a $3 trillion behemoth while AMD sits at about $178 billion only.

However, while it may feel more like wishful thinking at writing, there’s still reason to believe that Advanced Micro Devices could one day be bigger than NVDA.

The AI stock is currently down about 15% versus its year-to-date high.

Why AMD surpassing Nvidia is a real possibility

Historically, the global chips market has seen leads change not once but several times over the past two decades.  

In 2006, Intel was the biggest name in graphic chips, followed by AMD and then NVDA.

But just a year later, Nvidia had already surpassed Advanced Micro Devices in that market.

Similarly, in 2021, Intel was the leader in data centres with a 64% market share, while Nvidia stood at second with about 27%, and AMD next at 9.0% only.

But just two years later, Intel was down to 26% while Nvidia had rallied to 66%.  

Point being, leadership in the chips market tends to shift hands, and that to, pretty quickly – and while past performance is not indicative of future results, data suggests the possibility of AMD one day taking over Nvidia is believable to say the least.

AMD is already winning large-scale customers

It’s worth mentioning that AMD is fully committed to rolling out products that compete directly with Nvidia’s latest AI chips.

For example, its MI325X accelerator launched last quarter goes up against the rival’s H200, while the recently unveiled MI350 chip will compete with NVDA’s Blackwell series later in 2025.

More importantly, AMD chips seem to be faring well against Nvidia’s, which is why the tech titans like Microsoft and Meta Platforms have already agreed to be customers.

Plus, Lisa Su, its chief executive, has eyes on eventually making Advanced Micro Devices Inc an “end-to-end” solution that she believes is what helped Nvidia notch up a market cap of $3 trillion.

“This is the beginning, not the end, of the AI race,” she said last year.

Nvidia doesn’t have to lose for AMD to win

Most importantly, AMD doesn’t necessarily have to steal share from Nvidia to uncrown it as the leader of the artificial intelligence market.   

Su expects AI chips to be a $400 billion market over the next two to three years – and AMD and NVDA currently make up a little over $30 billion of that space only.

So, there’s ample room for Advanced Micro Devices to gain share from elsewhere and threaten Nvidia’s dominance down the line.  

Note that year-to-date, Nvidia shares are actually down more than AMD at the time of writing.

The post Can AMD surpass Nvidia in market dominance? appeared first on Invezz

Previous Post

Australia faces potential winter gas shortage, regulator warns

Next Post

British Steel plans to close Scunthorpe operations, putting 2,700 jobs at risk: what went wrong?

admin

admin

Next Post
British Steel plans to close Scunthorpe operations, putting 2,700 jobs at risk: what went wrong?

British Steel plans to close Scunthorpe operations, putting 2,700 jobs at risk: what went wrong?

Trending News

CoreWeave eyes $1.5B bond raise to ease debt load following lacklustre IPO: report

CoreWeave eyes $1.5B bond raise to ease debt load following lacklustre IPO: report

May 9, 2025
What defines a growth stock? Bernstein weighs in

What defines a growth stock? Bernstein weighs in

October 19, 2024
Rivian lowers annual production forecast due to parts shortage

Rivian lowers annual production forecast due to parts shortage

October 4, 2024
Subscribe to Insightful Word


    Recent News

    Jaguar Land Rover to cut 500 UK jobs as US tariffs dent exports

    Jaguar Land Rover to cut 500 UK jobs as US tariffs dent exports

    July 17, 2025
    Oracle stock price has surged, but beware of key risks

    Oracle stock price has surged, but beware of key risks

    July 17, 2025
    Starbucks shares slip after Jefferies downgraded the stock

    Starbucks shares slip after Jefferies downgraded the stock

    July 17, 2025
    US stocks open in the green: Dow Jones up 150 points, Nasdaq up 0.2%

    US stocks open in the green: Dow Jones up 150 points, Nasdaq up 0.2%

    July 17, 2025

    Recent News

    Jaguar Land Rover to cut 500 UK jobs as US tariffs dent exports

    Jaguar Land Rover to cut 500 UK jobs as US tariffs dent exports

    July 17, 2025
    Oracle stock price has surged, but beware of key risks

    Oracle stock price has surged, but beware of key risks

    July 17, 2025

    Latest News

    • Jaguar Land Rover to cut 500 UK jobs as US tariffs dent exports
    • Oracle stock price has surged, but beware of key risks
    • Starbucks shares slip after Jefferies downgraded the stock

    About Insightful Word

    • Contacts
    • Cookie Notice
    • Privacy Policy
    • Terms of Service
    • Trading tools
    • Contacts
    • Cookie Notice
    • Privacy Policy
    • Terms of Service
    • Trading tools

    Copyright © 2025 Insightfulword.com. All Rights Reserved.

    No Result
    View All Result
    • Investing
    • Stock
    • Economy
    • Politics

    Copyright © 2025 Insightfulword.com. All Rights Reserved.