AMD's CEO, Lisa Su, has given her outlook on the PC industry, and it appears Team Red isn't very confident about the client segment's growth this year.
AMD's Lisa Su Hints Towards Focusing More On Enterprise Within the Client Segment, Through Edge AI Products
The PC industry has been in turmoil over the past few quarters, primarily driven by ongoing memory shortages and by companies like NVIDIA, AMD, Dell, and others shifting their focus to enterprise/AI businesses. IDC projections indicate a decline in shipments, further raising pressure on AMD and how it will proceed in the client industry. AMD's CEO, Lisa Su, was asked about how her company perceives the downfall in the client segment, to which the main idea was that commitments would not change, rather the strategies would shift towards "enterprise", and we have already seen this switch happen.
I think the PC market is an important market. Based on everything that we see today, we're probably seeing the PC TAM down a bit just given some of the inflationary pressures of the commodities pricing, including memory.
Even in that environment with the PC market down, we believe we can grow our PC business. And our focus areas are enterprise. That's a place where we're making very nice progress in 2025, and we expect that into 2026. And just continuing to grow, you know, sort of at the premium, you know, higher end of the market.
- AMD's CEO Lisa Su
When AMD's CEO talks about enterprise in the client segment, we'll likely see the focus shift towards more 'mobile' solutions under the "Ryzen AI" branding. This includes APUs such as Gorgon Point, along with the newly announced Ryzen AI Halo 'AI mini-PC', and solutions that focus more on edge AI. It appears that by combining enterprise and client relations, AMD expects its client products to attract more interest, which is why Lisa says the company will continue to make "very nice progress."
AMD's client revenue is up 37% YoY to $3.9 billion, driven mainly by its Ryzen product portfolio and Radeon GPU lineup. Team Red also plans to expand beyond the traditional revenue streams by building a custom semi-silicon in collaboration with Xbox, and this venture is expected to add to the company's client market share. However, when we talk about the PC segment alone, there is still uncertainity about how AMD plans to move forward, especially in the consumer GPU segment.
For now, RDNA 5 is slated for H2 2027, while RDNA 4 is expected to remain relevant for several quarters ahead. AMD's only choice is to maybe put up refresh models for a Computex release or focus on the mobile segment with the likes of Medusa Point. There's no doubt that the memory supply crunch has disrupted consumer PC plans, and we'll likely see prolonged effects of the current situation, potentially moving into 2028.
About the author: Muhammad Zuhair is a hardware and technology reporter for Wccftech, specializing in the semiconductor industry and the complex interplay between technology, manufacturing, and geopolitics. His coverage focuses on the corporate strategies and technological roadmaps of industry giants like TSMC, NVIDIA, Samsung, and Intel. Zuhair's expertise lies in deconstructing complex topics such as fabrication nodes (e.g., 2nm process), the economic impact of policies like the CHIPS Act, and the strategic development of AI infrastructure from NVIDIA, AMD and Intel.
Follow Wccftech on Google to get more of our news coverage in your feeds.
