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AMD has confirmed that it will lay off 4% of its workforce to focus on “significant growth opportunities.”
It’s unclear how many workers are affected by the cuts — and which departments. AMD had approximately 26,000 employees as of last year, According to To the company’s annual 10-K filing. Four percent would translate to roughly 1,000.
“As part of aligning our resources with our largest growth opportunities, we are taking a number of targeted steps,” an AMD spokesperson told CRN. “We are committed to treating affected employees with respect and helping them through this transition.”
We’ve reached out to the company for more information and will update this piece if we hear back.
The news that was previously I mentioned From Wccftech, it comes after a mixed third-quarter earnings report. While AMD increased its revenue and profits, the company’s gaming division saw a 69% year-over-year decline, and guidance for the current quarter was below analysts’ expectations.
AMD has struggled to make headway in AI chip sales against rival Nvidia. Inventory shortages are one reason – for one reason appreciationAMD will ship 224,000 GPUs this year, which is a lot, but not enough to satisfy big customers like Microsoft and Meta.
AMD chips have it too It fell short What Nvidia can offer is in key AI training workloads, though AMD has positioned its offering as a better option for AI inference (e.g., operating models).
During the third-quarter earnings call, AMD CEO Lisa Su tried to reassure investors that the company’s future chips will be highly competitive with Nvidia’s chips. “Our next generation MI350 series is looking very good and is on track to launch in the second half of 2025, with the largest increase in AI performance ever,” she said.
It will be an uphill battle. consensus Estimates AMD’s 2025 revenue reaches $32.6 billion, up just $7.0 billion. Meanwhile, Nvidia is expected to report quarterly revenue of $33 billion — almost all of it attributable to AI chip sales.
AMD stock is down about 4% for the year.
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