Unlike NVIDIA, which was even forced to announce early financial results for the second quarter due to a sharp decline in demand for its gaming graphics cards, AMD on the consumer graphics market was quite restrained, expressing hope for its growth in the fourth quarter.
The general line of AMD management adheres to now, but points out that the consumer graphics market is a mess.Image source: AMDSimilar statements could be heard from AMD senior vice president Ruth Cotter (Ruth Cotter), which took part in the technology conference Goldman Sachs.
She began her explanation by recalling AMD's recent restructuring of its financial statements.
If earlier the semi-custom solutions, in particular, chips for game consoles belonged to the server line of business, now they are relegated to the gaming direction, neighboring it with discrete graphics processors.
These two segments in the last quarter, according to the representative of AMD, developed multidirectionally.
Demand for Microsoft and Sony game consoles at this stage of their life cycle is very high, as Ruth Kotter admits, and due to this growth in total revenue in this area will continue.At the same time in the discrete graphics segment, according to her, the company entered into 2022 with a very high base for comparison in the form of 2021.
In the second quarter, the market sagged hard, as has been discussed extensively by other sources.
The supply/demand ratio changed as consumer spending declined amid macroeconomic instability, all of which affected the discrete graphics market.In the second half of the year, specifically in the third quarter, as Ruth Kotter emphasized, the gaming graphics card market will continue to show weak demand as increased inventory remains in the retail channels.
But the fourth quarter should bring positive changes for AMD.
By the end of this year, the company will release a new product for gamers, and its appearance can help straighten out the situation.With all that said, as Ruth Kotter added, the second half of the year will force the company \"to deal with all kinds of peripeteia and confusion in the consumer graphics market.\" Directly AMD will help announce new products, but how will the situation in 2023, it is too early to say.AMD representatives also explained that in the server segment is very high demand for the company's products, as in the segment of gaming consoles, and only in market segments related to the consumer sector, the company has to deal with great confusion and try to overcome all sorts of related problems.
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