AMD claims it missed its quarterly expectations due to “the declining PC market and significant inventory reduction activities throughout the PC supply chain,” and that the accounting it’s undertaking after purchasing chip firm Xilinx in February for an estimated $50 billion is a large role in its lower profitability.
The corporation did see some expansion in a few regions. While the market for gaming GPUs isn’t as hot as it was when they could be used to mine Ethereum, AMD says its gaming segment increased by 14 percent, or $1.6 billion, due to “higher semi-custom product sales,” which are most likely the chips powering consoles like the PlayStation 5, Xbox Series S and X, and Steam Deck. The firm also witnessed a 45 percent year-over-year increase in its data center segment, where it claims its Epyc chips are doing well, and its embedded business benefited greatly from the Xilinx purchase.
