The main products from Advanced Micro Devices (AMD) include microprocessors, motherboard chipsets, embedded processors, and graphic processors. Recently, AMD announced its plans to purchase $1.6 billion worth of wafers from GlobalFoundries in the next 2 to 3 years. In addition, reports indicate that AMD is renegotiating its Wafer Supply Agreement to secure additional capacity in the face of global semiconductor shortages and record-high demand.
AMD focuses on gaining market share in the enterprise business with its recent launch of third-generation EPYC processors for servers and Ryzen Pro 5000 processors for business laptops.
According to Walden C. Rhines, CEO of Cornami and CEO Emeritus of Mentor-Siemens, AMD is in a critical period this year as they continue their market share gains and earnings performance. Assuming Intel closes much of the manufacturing process differentiation, it will be interesting to see how much of the market share gains momentum continues.