Advanced Micro Devices (AMD) expects more money coming in this quarter. This is because many people want its AI chips. But it might have trouble selling to China.
AMD’s good news may make investors happy. They were worried because AMD was behind Nvidia in the AI market. AMD’s shares went down 17% this year.
Like AMD, Nvidia needs special permission to sell some chips to China due to new U.S. rules. Nvidia said it could lose $5.5 billion because of this.
Even with trade issues, many companies like Microsoft and Meta are buying AMD’s AI chips. Sales of AMD’s data center products went up 57% to $3.7 billion.
AMD has strong plans for the future. CEO Lisa Su said they expect big sales from AI chips in the coming years.
Marvell Technology and Super Micro had bad news for investors. Marvell changed its plans because of the economy, and Super Micro lowered its sales forecast. Marvell’s shares dropped 6% and Super Micro’s fell 4%.
Vocabulary List:
- Investor /ɪnˈvɛstər/ (noun): A person or organization that puts money into financial schemes shares or property with the expectation of achieving a profit.
- Forecast /ˈfɔːr.kæst/ (noun): A calculation or estimation of future events especially coming weather or economic trends.
- Permission /pərˈmɪʃ.ən/ (noun): The act of allowing someone to do something.
- Sales /seɪlz/ (noun): The exchange of goods or services for money; the action of selling something.
- Expect /ɪkˈspɛkt/ (verb): To regard something as likely to happen; to predict.
- Economy /ɪˈkɒn.ə.mi/ (noun): The wealth and resources of a region especially in terms of the production and consumption of goods and services.
