--- title: AMD forecasts 80%+ revenue growth in 2027 after record... description: AMD forecasts revenue growth of more than 80% in 2027, beating analyst models of 77%. Third-quarter revenue rose 45% to $13.38B, with data-center revenue... canonical: https://daily.dev/posts/amd-forecasts-80-revenue-growth-in-2027-after-record-data-center-quarter-zsxnisvy1 twitter:card: summary_large_image twitter:site: @dailydotdev og:type: website og:site_name: daily.dev og:title: AMD forecasts 80%+ revenue growth in 2027 after record data-center quarter | daily.dev og:description: AMD forecasts revenue growth of more than 80% in 2027, beating analyst models of 77%. Third-quarter revenue rose 45% to $13.38B, with data-center revenue... og:url: https://daily.dev/posts/amd-forecasts-80-revenue-growth-in-2027-after-record-data-center-quarter-zsxnisvy1 og:image: https://api.daily.dev/og/posts/ZSXnISvY1.png og:image:alt: AMD forecasts 80%+ revenue growth in 2027 after record data-center quarter og:image:width: 1200 og:image:height: 630 og:locale: en --- > ## Documentation Index > Fetch the complete documentation index at: https://daily.dev/llms.txt > Use this file to discover all available pages before exploring further. # AMD forecasts 80%+ revenue growth in 2027 after record data-center quarter **[Collections](https://daily.dev/sources/collections)** · 2 min read · 0 upvotes · 0 comments ## Summary AMD forecasts revenue growth of more than 80% in 2027, beating analyst models of 77%. Third-quarter revenue rose 45% to $13.38B, with data-center revenue jumping 97% to a record $8.55B, driven by demand for Instinct GPUs and EPYC processors. PC and console chip sales fell 8% to $3.72B. CEO Lisa Su said data-center chips will make up 80% of next year's sales. Fourth-quarter revenue is guided to about $17B as production scales for the Helios rack, which pairs MI455X accelerators with 'Venice' CPUs. Meta, AMD's second-largest customer, is testing the first Helios systems under a February deal to buy up to $60B of AMD AI chips over five years. Adjusted gross margin is guided down to about 55% from 56%. Shares rose over 8% after hours. ## Content AMD reported third-quarter 2026 results with the highest quarterly revenue in its history, and it expects to outsell Intel in a quarter for the first time. ## The quarter Revenue rose 45% to $13.38B, up from $9.25B a year earlier and above the roughly $13.09B analysts expected. Gross margin was 54%, and net income rose 95% to $2.43B. Data center carried it. That segment grew 97% to a record $8.55B on demand for Epyc server processors and Instinct GPUs, including the new MI455X accelerators. The Client and Gaming unit went the other way: PC and console chip sales fell 8% to $3.72B, and AMD expects PC shipments to decline by double digits in 2027. ## The guidance AMD guided fourth-quarter revenue to about $17B, plus or minus 3%. Intel's own forecast is $15B to $16B, which would put AMD ahead as the largest x86 processor vendor for the first time. Production is scaling for Helios, a rack that pairs MI455X accelerators with "Venice" CPUs. Meta, AMD's second-largest customer, is testing the first Helios systems under a February deal to buy up to $60B of AMD AI chips over five years. For 2027, AMD now expects revenue to grow more than 80%, ahead of the 77% analysts had modeled. CEO Lisa Su told analysts data-center chips will make up 80% of next year's sales. Adjusted gross margin is guided down to about 55% from 56%. ## Why the bar was high Going in, the stock was under pressure. AMD had fallen about 17% over two days alongside Intel, whose shares had their worst day since at least 1982 after a weak outlook. AMD dropped 10% that same day. Analysts expected earnings to jump 92% on a 41% revenue rise, and portfolio manager Neville Javeri said a modest report wouldn't be enough given investor fears about AI spending. Jim Worden of Wealth Consulting Group had already sold his AMD shares over valuation. The report cleared that bar. Shares rose more than 8% after hours, despite the slightly lower margin guide. ## Questions this post answers ### What is AMD's revenue growth forecast for 2027? AMD expects revenue to grow more than 80% in 2027, exceeding the 77% growth analysts had modeled. This forecast stems from CEO Lisa Su's statement that data-center chips will make up 80% of AMD's sales next year. The guidance followed a record third quarter with data-center revenue up 97% to $8.55B. _Investors weighing AMD's AI bet against Nvidia can track earnings shifts like this on daily.dev._ ### What is AMD's Helios rack system? Helios is a rack-scale system that pairs AMD's MI455X accelerators with 'Venice' CPUs, built for AI data-center deployments. Meta, AMD's second-largest customer, is testing the first Helios systems as production ramps, part of a February deal to buy up to $60B of AMD AI chips over five years. _Engineers evaluating AMD versus Nvidia hardware for AI infrastructure can follow rollouts like Helios on daily.dev._ ### How much did AMD's data-center revenue grow in Q3? AMD's data-center revenue jumped 97% to a record $8.55B in the third quarter, driven by demand for Instinct GPUs and EPYC server processors. Total quarterly revenue rose 45% to $13.38B, beating AMD's own guidance of about $13B, while PC and console chip sales fell 8% to $3.72B. _Anyone sizing up AI chip demand trends can keep tabs on quarterly moves like this via daily.dev._ ## Community take How the wider developer community reacted, aggregated from 1 discussion and 114 comments across hackernews (as of 2026-11-04). **TL;DR:** Commenters largely agree AMD's lead is more about Intel's decade of self-inflicted stumbles (10nm failure, cost-cutting, missed AI bets) than a sudden AMD triumph, with real debate over whether AMD's AI/software story (ROCm, ecosystem) can actually compete with Nvidia long-term. **Sentiment:** 30% positive · 50% mixed · 20% skeptical **The case for** - AMD's EPYC server CPUs are widely seen as having been clearly superior to Intel's Xeons for years, finally paying off now that demand has surged. - Some note AMD's software stack (ROCm) and community tooling have improved significantly recently. - AMD products like Strix Halo and the AI Pro R9700 are seen as reasonably priced, usable alternatives for local AI/inference work. **The pushback** - Many argue AMD's win is really about Intel's failures (10nm stall, leadership cuts, lost validation talent) rather than AMD excelling. - AMD's GPU software/ecosystem (ROCm) is repeatedly criticized as far behind Nvidia's CUDA, limiting real competitiveness in AI. - An alleged insider account describes AMD's 5-day RTO mandate, below-market pay, and executive departures as internal problems undermining its AI ambitions. - Some see the entire AI-driven CPU/GPU boom as inflated by scarcity and price hikes rather than genuine technical merit. **By community** - hackernews (mixed): Discussion credits AMD's rise mostly to Intel's mismanagement while debating AMD's own AI/software weaknesses, with a notable detour into Optane nostalgia and an insider claim about internal turmoil at AMD. **Hottest debate:** Whether AMD's AI hardware and software (Instinct, ROCm) genuinely compete with Nvidia or whether AMD is just benefiting from Intel's collapse and overall market scarcity. **Open questions** - Can AMD's ROCm software stack close the gap with CUDA enough to matter for AI workloads? - Will Intel's upcoming Nova Lake and Diamond Rapids chips restore real competitive balance? - Are the internal management and retention issues described for AMD accurate and how might they affect its AI strategy going forward? **Highlights** > That says more about Intel's shambolic efforts than it does about AMD's road to damascus moment. Honestly both of them have demonstrated that they have little interest in AI. Intel gave up on Optane right as (a much-improved successor) would've helped with MoE offsetting or even as a highly durable drive for KV caching. AMD have... turned out some decent gaming graphics cards and fine server CPUs but little else. People are out there solding SMDs on old Nvidia mining rig GPUs to use them for inference; their hardware is not depreciating at the normal rate you'd expect from GPUs. DGX spark is finally useful now that AI can write multi-machine inference tooling optimised to it. Where's AMD in all of this? Nowhere. > — [mickeyp on hackernews · 17 comments](https://news.ycombinator.com/item?id=50368310) > AMD is doing 5 day RTO for almost everyone with 3 months of notice in an obvious attempt to get people to quit before vesting their 5x stock grants. The rule includes >90% of "remote" workers who have discovered they were classified as hybrid (a classification now eliminated) and their manager didn't make it official. Now, remote approvals are SVP level. The issue is, AMD still pays significantly less than any company with an RTO mandate, even with the stock appreciation. And the stock has gone down 25% in the past few weeks so it's even less competitive. The typical engineer was not given an equity-weighted package, even L9 only 30% of your TC is in stock. It's a recruiting bonanza right now and everyone's getting calls offering 50% pay bumps from 5-day office semi corps like Broadcom or Qualcomm. The better people are getting offers at Google or Apple for 3-day RTO for even greater TC bumps. > — [AMDAnon on hackernews · 3 comments](https://news.ycombinator.com/item?id=50369679) > They can't find new leaders! Sharon Zhou, VP who handles all our engagements with the frontier labs quit today to be an MTS at Anthropic. https://lnkd.in/p/g53S3-fG Sharon was the AI Chief of Staff brought in through an acquihire, managed all the high-visibility external/internal AI engagements, reported directly into Lisa Su, and was being groomed to be Lisa's successor. Even with all that, she couldn't make it 2 years at AMD. Our internally developed execs/directors/VPs have no credibility with the frontier labs or hyperscalers because they're non-technical types. They don't understand software management so they couldn't fix any of the problems with ROCm by making systemic changes in how we develop software e.g. Alan Lee who got pushed out ages ago after spending years promising ROCm would get better while nothing happened. The only software-oriented technical VP with credibility now is Anush Elangovan. He was also brought in through an acquihire, forced us to upstream, forced us to have CI, and adopt basic software practices common at every other company. If we lose him, we're going to start plummeting fast. > — [AMDAnon on hackernews · 3 comments](https://news.ycombinator.com/item?id=50370684) > There are many years since AMD's EPYC CPUs have been greatly superior to Intel's Xeons and Intel has not succeeded to match them (Intel has a hope with the future Diamond Rapids Xeons, which are their first CPUs since 2019 that have a good chance to match AMD's). In the last few years Intel's division that makes Xeons had huge losses, because in order to retain their big customers they had to accept to sell at big discounts, otherwise the customers would have switched to AMD. All has changed this year, due to the AI craze. AMD has sold all the server CPUs that it could make, within its allocations at TSMC. Everybody who did not succeed to buy EPYCs has bought Intel Granite Rapids Xeons, because they are not made at TSMC, but in Intel's fabs, so they did not compete with other TSMC customers for allocations. So Intel has also sold every server CPU that they could make, and they are now trying to retool some fab that made new Panther Lake CPUs back to the obsolete Intel 3 CMOS manufacturing process, in order to make more Xeons, to sell them as long as this huge demand persists. Thus in the last quarter both AMD and Intel have sold less consumer CPUs than in the past, because all who could did delay their upgrade plans due to the unacceptable memory prices, but on the other hand both AMD and Intel had record revenues and profits from selling server CPUs. > — [adrian\_b on hackernews](https://news.ycombinator.com/item?id=50369108) > It wasn't just that. Intel could have survived a failed node, or a few of them. Certainly wouldn't be their first. Krzanich "optimized" the company for profit, by cutting out things he considered to be excess. Including a lot of their irreplaceable validation & verification talent, that AMD instantly snapped up. The lack of validation resources is directly responsible for the failures of many key Intel products during his tenure and later, because major bugs that could have been spotted earlier slipped through, and then resulted in horrible delays and even cancellations. He then spent the surplus of the company on 30 major acquisitions, of which only two were in any reasonable degree successful. There are CEOs who have destroyed more value than Krzanich, but not many. > — [Tuna-Fish on hackernews](https://news.ycombinator.com/item?id=50368469) **Source threads** - [hackernews](https://news.ycombinator.com/item?id=50367125) · 318 points · 114 comments ## Similar posts on daily.dev - [Why AMD's Q1 outlook is giving Wall Street jitters](https://daily.dev/posts/why-amd-s-q1-outlook-is-giving-wall-street-jitters-pqna8vdtl) · The Register · 1 upvotes · 0 comments - [AMD’s record quarter is really a bet that open beats Nvidia’s moat](https://daily.dev/posts/amd-s-record-quarter-is-really-a-bet-that-open-beats-nvidia-s-moat-5ijd8qqle) · The Next Web · 0 upvotes · 0 comments - [AMD is now worth a trillion dollars](https://daily.dev/posts/amd-is-now-worth-a-trillion-dollars-gq9butu9z) · TechCentral · 5 upvotes · 0 comments - [AMD continues to chip away at Intel's X86 market share — company now sells over 25% of all x86 chips and powers 33% of all desktop systems](https://daily.dev/posts/amd-continues-to-chip-away-at-intel-s-x86-market-share-company-now-sells-over-25-of-all-x86-chips-lz4p9svzi) · Hacker News · 1 upvotes · 0 comments --- Tags: [#gpu](https://daily.dev/tags/gpu), [#amd](https://daily.dev/tags/amd) [View this post on daily.dev](https://daily.dev/posts/amd-forecasts-80-revenue-growth-in-2027-after-record-data-center-quarter-zsxnisvy1) ```json {"@context":"https://schema.org","@graph":[{"@type":"Organization","@id":"https://daily.dev/#organization","name":"daily.dev","url":"https://daily.dev","logo":{"@type":"ImageObject","url":"https://daily.dev/apple-touch-icon.png","width":180,"height":180},"sameAs":["https://twitter.com/dailydotdev","https://github.com/dailydotdev","https://www.linkedin.com/company/daily-dev-ltd"]},{"@type":"WebSite","@id":"https://daily.dev/#website","url":"https://daily.dev","name":"daily.dev","publisher":{"@id":"https://daily.dev/#organization"},"potentialAction":{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https://daily.dev/search?q={search_term_string}"},"query-input":"required name=search_term_string"}}]} {"@context":"https://schema.org","@type":"TechArticle","headline":"AMD forecasts 80%+ revenue growth in 2027 after record data-center quarter","url":"https://daily.dev/posts/amd-forecasts-80-revenue-growth-in-2027-after-record-data-center-quarter-zsxnisvy1","mainEntityOfPage":{"@type":"WebPage","@id":"https://daily.dev/posts/amd-forecasts-80-revenue-growth-in-2027-after-record-data-center-quarter-zsxnisvy1"},"datePublished":"2026-11-04T08:20:03.614Z","dateModified":"2026-11-04T20:35:35.335Z","description":"AMD forecasts revenue growth of more than 80% in 2027, beating analyst models of 77%. 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