AMD sees record revenue of $25.8 billion in 2024 thanks to data center growth—gaming last seen tumbling into a ditch
You'd be forgiven for thinking that a company called Advanced Micro Devices would make the majority of its profit from said tech, with coveted high-end graphic cards leading the charge. Though gaming hardware continues to do big business, it's been completely overshadowed in recent years by an explosion in demand for data centres handling AI.
In a recent earnings call, AMD revealed that revenue from the data centre side of the business had more than doubled, ultimately «contributing roughly 50% of annual revenue» in 2024 (via Seeking Alpha). Now, you may be asking 'Half of how much, though?' Well, EVP, CFO and Treasurer Jean Hu revealed that AMD saw a «record revenue of $25.8 billion» in 2024, attributing the gain to «94% growth in our data center segment and a 52% growth in our client segment.»
To be clear, AMD's segment includes AI accelerators, server chips, server GPUs, FPGAs, and more. You know, server stuff. So, that's $12.5 billion for the data centre last year, up from $6.5 billion the year prior. As for the client segment, that includes Ryzen CPUs, APUs and chipsets, which all accounted for $7 billion in 2024, up from $4.7 billion in 2023.
CEO Lisa Su revealed on the same call, «On a full year basis, annual revenue grew 14% to $25.8 billion as data center revenue nearly doubled and client segment revenue grew 52%, more than offsetting declines in our gaming and embedded segments.»
So, gaming isn't looking too hot for AMD—but how bad is it really? AMD's gaming segment includes discrete GPUs and semi-custom chips. The latter are big money for AMD, as it produces the semi-custom silicon used in PlayStation and Xbox consoles. Lisa Su stated, «Revenue declined 59% year-over-year,» which sounds bad but still means AMD made $563 million from this part of the business alone in 2024.
The gap between million and billion often makes all the difference for massive corporations, but this decline is a drop in the bucket compared to how much AMD raked in from the data
Read more on pcgamer.com
