That being said, btt, I'm still not 100% sold that AMD will skip the enthusiast (high margin) market for RDNA 4 - rumors are just rumors, and rumors can also change opinions (of AMD).
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But nvidia's market cap is 1 trillion, while AMD is much smaller - only ~173 billion.
I think this is a severe mismanagement on AMD's side. They should stop the development of CPUs, and instead focus 100% on the GPUs - there is much more money in it
Mismanagement? Hahaha. If that was the case, Lisa Su and other senior leaders would have been easily sacked long time ago. I hope you are not saying that it's difficult to change bosses of tech companies in America, are you?
Market cap can be very volatile and unstable measure of company value. It often goes up and down in waves and cycles, for various reasons. It's more a measure of investor's momentary estimate of a business. If you take a look below, you will see just how volatile market cap of Nvidia has been. AMD's market cap has been less volatile, which suggests more steady valuation, with less of investor hysteria. Similarly for TSMC.
As of January 2025 NVIDIA has a market cap of $3.392 Trillion USD. This makes NVIDIA the world's 2nd most valuable company according to our data.
companiesmarketcap.com
As of January 2025 AMD has a market cap of $195.62 Billion USD. This makes AMD the world's 67th most valuable company according to our data.
companiesmarketcap.com
As of January 2025 TSMC has a market cap of $1.071 Trillion USD. This makes TSMC the world's 9th most valuable company according to our data.
companiesmarketcap.com
There is currently more money in server GPUs for AI craze, but we don't know how long this is going to last. Nvidia leads here, which is fine, but that does not mean it would be the same in a few years. Plus, AMD is heavily investing in server GPUs - Instinct MI300 series and they are testing already MI400 in labs. So, nothing to worry about. They are fine and healthy. Steady strategy, no hysteria.
RTG needs more autonomy inside AMD. AMD should be two companies under one roof - Ryzen Technology Group and Radeon Technology Group. In this case, both parts will have equal opportunities and equal starts. Today, RTG is left on an autopilot, and of course, the only thing which lead from it is downward spiralling...
This does not make sense, as both CPU and GPU divisions actually closely work together. The result - extremely promising MI300 Instinct and other APUs. It's only going to get better as they slowly muscle their way into AI market. Steady.
It is a critical mistake to rely only on one supplier - in this case only TSMC. There must always be diversification.
Tell that to Apple and Nvidia. They don't have problems, do they? There are always Intel and Samsung around for chips that do not need to be on cutting edge node.
Plus, you might have been around to read news that several new megafabs are being built in the US and Europe by TSMC, Intel and Samsung.
I thought GLOBALFOUNDRIES and AMD share the same owners.
No. GloFo explicitly decided to focus on DUV litography as they do not have interest and capacity to pursue EUV era of chip making.
Only five companies have enough resources and expertise for EUV era - Intel, Samsung, TSMC, Micron and SK Hynix.
35B (it's actually 52B) is a lot, but they get a whole company for that, not just "a node" with some exclusive availability that later then gets shared with other companies, that are basically competitors (unlike with Apple).
Exactly. Xilinx was a strategic move, as AMD acquired a lot of IP and device designs for server and AI era, such as FPGAs, DPUs, media encoders, embedded solutions, etc. This division has skyrocketed in revenues in last finantial report for Q2 2023. Great asset.