Lisa Su thinks the AI boom is just getting started — and the numbers back her up. On Advanced Micro Devices Inc's (NASDAQ:AMD) third quarter earnings call, the CEO said the total addressable market for AI silicon has grown beyond earlier projections, calling it "a larger opportunity" than the $500 billion estimate she floated just months ago.
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From Trillions Of Tokens To Billions In Silicon
Su told investors that, "from everything that we see, we see the AI compute TAM just going up," hinting at a faster expansion than even AMD's bullish forecasts. The new outlook reflects surging demand for data center AI chips, which helped AMD post record Q3 revenue of $9.2 billion, up sharply on the strength of its MI300 series and next-gen MI400 roadmap.
"Whereas $500 billion sounded like a lot when we first talked about it, we think there is a larger opportunity for us over the next few years," she said.
Betting On OpenAI — And Everything Beyond
AMD's optimism comes on the heels of its multi-gigawatt, multi-year partnership with OpenAI, which Su described as "significant scale."
She confirmed the first gigawatt of deployments will begin in the second half of 2026, powered by the new MI450 series and Helios rack systems. With similar conversations underway across cloud providers and sovereign AI projects, AMD appears to be spreading its bets well beyond a single marquee customer.
Why It Matters
While Nvidia Corp (NASDAQ:NVDA) still commands the lion's share of AI GPU sales, AMD's pitch is scale and sustainability — serving multiple hyperscalers at once while addressing power and supply bottlenecks.
If the AI silicon market truly is bigger than $500 billion, as Su now insists, AMD's runway may be longer — and hotter — than Wall Street had priced in.
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