Big tech stocks jumped in premarket trading. AMD up nearly 6%; Micron up about 3%; Broadcom, Nvidia, SMCI, Alphabet up around 1%.
AMD expects the market for the company's data center chips to grow to $1 trillion by 2030, CEO Lisa Su said at its analyst day - its first such event in three years - in New York. Artificial intelligence will drive much of the growth to the trillion-dollar figure. That market includes AMD's plain processor and networking chips, along with its specialized AI chips, Su said.
"It's an exciting market," Su said. "There's no question, data center is the largest growth opportunity out there, and one that AMD is very, very well positioned for."
In the next three to five years, AMD expects 35% growth across its entire business each year and 60% in its data center business, finance chief Jean Hu said at the analyst day.
The company also expects earnings to rise to $20 a share in the same three-to-five-year period. LSEG estimates peg AMD's 2025 profit at $2.68 per share.
Jensen Huang, CEO of AMD archrival Nvidia, has said the broader AI infrastructure market will grow to $3 trillion to $4 trillion by 2030.
