Lisa Su Says Agentic AI Is Driving A New CPU Demand Cycle<\/p>\n
AMD Chair and CEO Lisa Su told<\/a> CNBC on Wednesday that the company delivered a strong start to 2026 as enterprises accelerated AI adoption and increased demand for compute infrastructure.<\/p>\n Su explained that the industry has moved beyond early experimentation, with large enterprises now actively deploying AI workloads that require significant computing power.<\/p>\n While GPUs remain critical for AI acceleration, she said the rise of AI agents has sharply increased demand for CPUs because those workloads require more general-purpose processing.<\/p>\n According to Su, AMD previously expected the CPU total addressable market to grow roughly 18%-20% annually by 2030.<\/p>\n Still, the company now believes that the growth rate could exceed 35%, pushing the CPU market above $120 billion by the end of the decade.<\/p>\n She said the changing AI workload mix has shifted the CPU-to-GPU ratio closer to 1-to-1 as enterprises deploy multiple AI agents that continuously process and manage tasks.<\/p>\n Su also described the acceleration in AI adoption as validation of AMD’s long-term strategy around CPUs, GPUs, and AI infrastructure.<\/p>\n Stacy Rasgon Sees Rising EPS Power And AI Share Gains For AMD<\/p>\n Bernstein analyst Stacy Rasgon told<\/a> CNBC on Wednesday that AMD’s latest results strengthened confidence in the sustainability of the company’s CPU growth story.<\/p>\n Rasgon acknowledged that he had previously been cautious about AMD’s long-term CPU opportunity, but said the company’s updated forecasts and execution now make the growth outlook increasingly credible.<\/p>\n He said AMD’s earnings power could approach roughly $20 per share by 2028, a level the company had previously targeted for 2030 during its analyst day presentation.<\/p>\n Rasgon argued that AMD does not need massive gains in GPU market share to generate meaningful upside, as even modest share gains in a rapidly expanding AI market could significantly boost revenue and earnings.<\/p>\n He also said AMD occupies a strong strategic position because it offers both CPUs and GPUs, unlike Intel Corp (NASDAQ:<\/a>INTC<\/a>), which lacks a meaningful GPU business.<\/p>\n While Rasgon pointed out that AMD trades at a higher forward earnings multiple than NVIDIA, he added that the company’s accelerating earnings trajectory could still support further upside.<\/p>\n Patrick Moorhead Highlights AMD Execution And Expanding AI Opportunity<\/p>\n