AMD raises CPU market opportunity forecast to more than $120 billion by 2030, driven by agentic AI adoption doubling the previous projection.

AMD CFO Jean Hu said the company previously projected the CPU total addressable market would grow at an 18% compound annual rate to $60 billion by 2030, but has updated its view to more than $120 billion, citing faster agentic AI adoption.

Agentic AI (AI systems that perform orchestration, database access, and tool execution rather than just answering questions) is expected to represent more than 50% of the larger long-term CPU market opportunity, with significant CPU performance required between inference tasks for post-processing data, determining next steps, and retrieving information from cloud systems.

AMD reported record CPU performance in the first quarter with CPU revenue growing more than 50%, and guided for second-quarter CPU revenue growth of more than 70% year over year, with roughly two-thirds of that growth coming from unit expansion rather than higher average selling prices.

AMD's MI450 GPU product has been sampled and is expected to launch starting in the second half, with activity beginning in the third quarter and continuing into the fourth quarter, and the company expects a significant revenue increase in the fourth quarter followed by another sizable increase in the first quarter.