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AMD's Gaming Revenue Dips Despite Record Overall Sales
5 Aug
Summary
- AMD reported record Q2 revenue of $11.5 billion, up 50% year-over-year.
- Gaming revenue declined 31% YoY, attributed to console lifecycle and component costs.
- AI PCs are expected to drive growth in AMD's client CPU business in 2026.
AMD announced record Q2 revenue totaling $11.5 billion, marking a significant 50% increase from the previous year. This impressive financial performance was bolstered by a 107% surge in data center revenue, which reached $6.7 billion.
However, the company's gaming segment saw a considerable downturn, with revenue falling 31% year-over-year to $779 million. This decline is attributed to the later stages of the console lifecycle and increased industry-wide component costs impacting graphics card demand and pricing.
Despite the gaming slump, AMD's overall client business, which includes gaming, generated $3.8 billion, up 6% year-over-year. This growth is driven by strong demand for Ryzen CPUs and expanded market share for Ryzen PRO chips, which saw sales increase by over 50%.
Looking ahead to 2026, AMD anticipates that AI PCs will become increasingly important for its client business. The company expects continued growth in its data center segment in the upcoming quarter.
