当日，AMD股价下跌约5.6%。Bank of America pointed out that the weak demand for AMD AI Chips from AWS customers, NVIDIA's dominant position, and the increasing market preference for Marvell and Broadcom's customized chips have collectively limited AMD's growth potential.
The demand for AI Chips is sluggish, and the strong competitors have restricted the company's growth potential, raising concerns in the market about AMD's outlook.
On Monday, Bank of America released a report stating that due to the rising competition risks in the AI market, the rating for AMD was downgraded from "Buy" to "Neutral"; the Analyst also lowered the company's GPU sales forecast for 2025 from $8.9 billion to $8 billion, which implies that AMD's market share is around 4%.
On the same day, AMD's stock price fell by about 5.6%.
Moreover, as early as last Friday, Business Insider published a report stating that Amazon Web Services (AWS) has not seen sufficient strong customer demand for deploying AMD's AI Chips through its cloud platform. AMD's stock price was impacted and dropped by about 2%. So far this year, AMD's stock price has decreased by about 5%.
Bank of America pointed out that the weak demand from AWS customers for AMD AI Chips, NVIDIA's dominance, and the increasing market preference for customized chips from Marvell and Broadcom together restrict AMD's growth potential. Bank of America also stated in the report:
"Recently, the largest cloud customer, Amazon, has strongly indicated a preference for other customized chips such as AWS's internal AI Chip Trainium and NVIDIA products, while demand for AMD has not been strong."
In addition, AMD's GPU market share currently lags significantly behind NVIDIA. However, Bank of America is not entirely bearish on AMD; Analysts believe AMD still has the potential to succeed in the AI Chip market, partly because NVIDIA's supply constraints and High Stock Price make AMD a strong alternative, especially for internal cloud workload.
In addition, AMD has gained an advantageous position in the Server chip market compared to its competitor Intel.
Recently, AMD raised its sales forecast for GPUs, just a year after launching its AI Chip series. A spokesperson from AWS also stated, "AWS closely collaborates with AMD, and we will continue to make AWS the best place for running AMD chips. Based on the success of AMD CPUs on AWS, we are actively considering offering AMD’s AI Chips."
Editor/lambor
