Latest news with #Computex2024
The Star
21-05-2025
- Business
- The Star
AI PCs still year or two from fulfilling promise, Asus CEO says
Consumer spending on computers has been limited by worries about the global economy and the impact of tariffs, while AI has not drawn people in the way many expected because available software is immature, according to Hu. — AP The new crop of artificial intelligence-powered PCs will take until 2026 or later to drive the market forward, according to Asustek Computer Inc co-chief executive officer Samson Hu. Hopes for expansion in the moribund laptop market were not lifted by last year's unveiling of AI PCs by everyone from Asus to Lenovo Group Ltd, and Hu sees the new US administration's flurry of tariff announcements lowering expectations for this year too. Asus may consider raising prices in the US by as much as 10% to offset the cost of such levies, Hu said in an interview with Bloomberg News at the Computex trade show in Taipei. Consumer spending on computers has been limited by worries about the global economy and the impact of tariffs, while AI has not drawn people in the way many expected because available software is immature, according to the executive. "Original estimation of the market growth rate for the PC industry is around 5%,' Hu, who has been co-CEO of one of the world's biggest PC and component makers since 2019, said. "Because of tariff policy uncertainty, I think right now most estimates already are reduced to 1% or 2% or even only flat.' The hardware to power AI tasks is already on sale, the CEO said, with many of the Windows laptops that Microsoft Corp. branded Copilot+ PCs launched a year earlier at Computex 2024. But, according to Hu, the industry may need another year or two until third-party app developers build the software to fully take advantage of those capabilities. – Bloomberg
Yahoo
07-05-2025
- Business
- Yahoo
AMD stock whipsaws as Wall Street balances better than anticipated Q1 results with AI uncertainty
AMD's (AMD) stock whipsawed in early trading Wednesday morning, as investors digested the company's better than anticipated Q1 earnings report and stronger than expected outlook Tuesday. But analysts were torn on AMD's path forward, with Bank of America upgrading the company to a Buy and others like Jefferies lowering their price target on the firm on concerns about AI growth for the year. Shares of AMD jumped as much as 4.9% at the start of trading on Wednesday before paring gains and dropping back to below 1%. For the quarter, the AI chipmaker and Nvidia rival saw adjusted earnings per share (EPS) of $0.96 on revenue of $7.4 billion, ahead of analysts' expectations of $0.94 on revenue of $7.1 billion, based on Bloomberg consensus estimates. The company reported EPS of $0.62 and revenue of $5.4 billion in the same quarter last year. The company also said it anticipates Q2 revenue of between $7.1 billion and $7.7 billion. Analysts were anticipating $7.2 billion. Analyst Vivek Arya cited AMD's "strong" sales outlook for the second quarter "despite China headwinds." Arya raised his price target on AMD shares to $120, while shares traded around the $100 level Wednesday morning. In April, AMD, like Nvidia (NVDA), announced that the Trump administration instituted tighter export controls on AI chips destined for China. The move effectively cuts off AMD's ability to ship its MI308 AI processor to the region, and, according to the company, might result in as much as an $800 million charge on inventory, purchase commitments, and related reserves. AI chip companies are also staring down the government's AI diffusion rules, which would require certain countries to acquire special licenses to gain access to a limited number of US AI chips. 'Despite the dynamic macro and regulatory environment, our first quarter results and second quarter outlook highlight the strength of our differentiated product portfolio and consistent execution positioning us well for strong growth in 2025,' AMD CEO Lisa Su said in a statement. Lisa Su, chairwoman and CEO of Advanced Micro Devices (AMD), delivers the opening keynote speech at Computex 2024, Taiwan's premier tech expo, in Taipei on June 3, 2024. (Photo by I-Hwa CHENG / AFP) (Photo by I-HWA CHENG/AFP via Getty Images) · I-HWA CHENG via Getty Images AMD's earnings results follow rival Intel's (INTC) report, which saw the company beat on the top and bottom lines but issue lighter-than-anticipated revenue guidance in the second quarter. At the time, Intel CFO David Zinsner blamed the 'current macro environment' for creating 'elevated uncertainty across the industry.' Nvidia (NVDA) will report its earnings on May 28. AMD's Data Center segment revenue topped $3.7 billion, versus expectations of $3.6 billion. The segment generated $2.3 billion in Q1 last year.
Yahoo
06-05-2025
- Business
- Yahoo
AMD posts better than anticipated Q1 earnings, stock jumps on strong Q2 outlook
AMD (AMD) announced its first quarter earnings Tuesday, beating expectations on the top and bottom lines and providing a better than expected Q2 outlook. Shares rose more than 5% on the news. For the quarter, AMD saw adjusted earnings per share (EPS) of $0.96 on revenue of $7.4 billion, ahead of analysts' expectations of $0.94 on revenue of $7.1 billion, based on Bloomberg consensus estimates. The company reported EPS of $0.62 and revenue of $5.4 billion in the same quarter last year. The company also said it anticipates Q2 revenue of between $7.1 billion and $7.7 billion. Analysts were anticipating $7.2 billion. 'Despite the dynamic macro and regulatory environment, our first quarter results and second quarter outlook highlight the strength of our differentiated product portfolio and consistent execution positioning us well for strong growth in 2025,' AMD CEO Lisa Su said in a statement. AMD's announcement follows rival Intel's (INTC) report, which saw the company beat on the top and bottom lines but issue lighter-than-anticipated revenue guidance in the second quarter. At the time, Intel CFO David Zinsner blamed the 'current macro environment' for creating 'elevated uncertainty across the industry.' Nvidia (NVDA) will report its earnings on May 28. AMD's Data Center segment revenue topped $3.7 billion, versus expectations of $3.6 billion. The segment generated $2.3 billion in Q1 last year. NasdaqGS - Delayed Quote • USD (AMD) View Quote Details 98.62 - (-1.96%) At close: 4:00:00 PM EDT Advanced Chart In April, AMD, like Nvidia (NVDA), announced that the Trump administration instituted tighter export controls on AI chips destined for China. The move effectively cuts off AMD's ability to ship its MI308 AI processor to the region, and, according to the company, might result in as much as an $800 million charge on inventory, purchase commitments, and related reserves. AI chip companies are also staring down the government's AI diffusion rules, which would require certain countries to acquire special licenses to gain access to a limited number of US AI chips. Shares of AMD are off 18% year to date and 36% over the last 12 months. Nvidia is down 15% year to date, but up 22% over the last year. AI stocks took a major hit over the past few months on fears that the trade has been overhyped. DeepSeek's January announcement that it managed to produce high-performance AI models using less than top-of-the-line chips further hammered chip stocks. Lisa Su, chairwoman and CEO of Advanced Micro Devices (AMD), delivers the opening keynote speech at Computex 2024, Taiwan's premier tech expo, in Taipei on June 3, 2024. (Photo by I-Hwa CHENG / AFP) (Photo by I-HWA CHENG/AFP via Getty Images) · I-HWA CHENG via Getty Images AMD's Client segment, which includes revenue from the sale of laptop and desktop chips, saw $2.3 billion in revenue for the quarter. Analysts were anticipating $2 billion in revenue, up from $1.3 billion in Q1 last year.
Yahoo
06-05-2025
- Business
- Yahoo
AMD to report Q1 earnings as AI, tariffs remain in focus
AMD (AMD) will report its first quarter earnings after the bell on Tuesday, providing a look at the impact of President Trump's tariffs on chip sales and a look at the health of the AI trade ahead of Nvidia's (NVDA) earnings later this month. AMD's announcement follows rival Intel's (INTC) report, which saw the company beat on the top and bottom lines, but issue lighter than anticipated revenue guidance in the second quarter. At the time, Intel CFO David Zinsner blamed the 'current macro environment' for creating 'elevated uncertainty across the industry.' PC makers produce a number of their products in China, as well as Vietnam and Malaysia. Computers are currently exempt from Trump's tariffs, but the administration has said it could implement duties on semiconductors based on the results of the Commerce Department's Section 232 investigation. For the quarter, AMD is expected to report adjusted earnings per share (EPS) of $0.94 on revenue of $7.1 billion. The company saw EPS of $0.62 and revenue of $5.4 billion in the same quarter last year. Data Center segment revenue is expected to bring in $3.6 billion in the quarter compared to $2.3 billion last year. In April, AMD, like Nvidia (NVDA), announced that the Trump administration instituted tighter export controls on AI chips destined for China. The move effectively cuts off AMD's ability to ship its MI308 AI processor to the region, and, according to the company, might result in as much as an $800 million charge on inventory, purchases commitments, and related reserves. And that could weigh on the company's Q2 outlook. Lisa Su, chairwoman and CEO of Advanced Micro Devices (AMD), delivers the opening keynote speech at Computex 2024, Taiwan's premier tech expo, in Taipei on June 3, 2024. (Photo by I-Hwa CHENG / AFP) (Photo by I-HWA CHENG/AFP via Getty Images) · I-HWA CHENG via Getty Images 'We expect AMD to post higher results and guide lower given 1Q strength for MI308, but turning into a headwind in 2Q with the AI chip ban into China,' KeyBanc analyst John Vinh wrote in an investor note ahead of AMD's earnings announcement. AI stocks took a major hit over the past few months on fears that the trade has been overhyped. DeepSeek's January announcement that it managed to produce high-performance AI models using less than top-of-the-line chips further hammered chip stocks. Shares of AMD are off 18% year-to-date and 36% over the last 12 months. Nvidia is down 15% year-to-date, but still up 22% over the last year. 'Unfortunately for AMD the AI story, already somewhat tenuous, is likely to take another material haircut on the back of new China sanctions (note that every $1B is ~25 cents in earnings) and overall remains uncompetitive in our view,' Bernstein analyst Stacy Rasgon wrote in an investor note. AI chip companies are also staring down the government's AI diffusion rules, which would require certain countries to acquire special licenses to gain access to a limited number of US AI chips.
South China Morning Post
12-04-2025
- Business
- South China Morning Post
Alphabet, Nvidia invest in OpenAI co-founder Sutskever's SSI: source
Alphabet and Nvidia have joined prominent venture capital investors to back Safe Superintelligence (SSI), a start-up co-founded by OpenAI's former chief scientist Ilya Sutskever that has quickly risen to become one of the most valuable artificial intelligence start-ups months after its launch, a source familiar with the matter has said. Advertisement The funding illustrates renewed interest from the big tech and infrastructure providers in making strategic investments in the start-ups developing cutting-edge AI that requires massive amounts of computing power. Alphabet, which has its own AI models, earlier in the week announced a deal by its cloud computing arm to sell SSI access to tensor processing units (TPUs), its in-house AI chips. SSI, which sources say was recently valued at US$32 billion in a round led by Greenoaks, is one of the highest-profile start-ups working on AI model research, thanks to Sutskever's stellar track record in predicting the next big thing in AI development. Like many of its competitors, it has a huge demand for chips. Reuters could not determine the exact terms of Alphabet's and Nvidia's investment in SSI. Spokespeople for all three companies declined to comment. The logo of Nvidia is seen during Computex 2024 in Taipei in June 2024. Photo: AFP The twin moves by Alphabet's corporate and cloud division with high-profile AI labs including SSI and Anthropic show the tech giant's evolving AI hardware strategy.
