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AMD projected to overtake Intel by 2027 amid AI boom
AMD is gaining significant momentum in the semiconductor market, with its x86 processor market share now exceeding 30 percent. Analysts at Raymond James have upgraded AMD from 'Outperform' to 'Strong Buy' and raised its price target from $565 to $641, predicting the company could overtake Intel by 2027. This growth is driven by increasing demand for data centers and artificial intelligence computing power.
However, the rapid expansion of AI technology is creating critical infrastructure bottlenecks. Micron reports a growing 'memory wall,' where AI accelerator computing performance is outstripping memory bandwidth growth. While AI computing power has tripled in two years, HBM bandwidth has increased by less than twofold. This disparity was evident during Meta's Llama 3 405B pretraining, where HBM3 memory issues were responsible for 17.2% of recorded system interruptions. Additionally, HBM production is resource-intensive, requiring roughly three times more silicon than DDR5 to achieve the same capacity.
Entities
AMD · Intel · Meta · Micron · Raymond James
Claims
What the coverage asserts, and how many sources carry each claim.
- [○ 1 SOURCE] HBM3 memory issues accounted for 17.2% of interruptions during Meta's Llama 3 405B pretraining. itreseller.pl
- [○ 1 SOURCE] Raymond James raised the AMD price target from $565 to $641.
- [○ 1 SOURCE] AMD could overtake Intel in the processor market by 2027.
- [○ 1 SOURCE] Meta recorded 466 interruptions during 54 days of Llama 3 405B pretraining. itreseller.pl
- [○ 1 SOURCE] AMD's share of the x86 processor market has surpassed 30 percent.
- [○ 1 SOURCE] The AMD investment recommendation was upgraded from 'Outperform' to 'Strong Buy'.
- [○ 1 SOURCE] AI accelerator computing performance has tripled in two years, while HBM bandwidth has increased by less than twofold. itreseller.pl
- [○ 1 SOURCE] Producing HBM3E requires approximately three times more silicon than DDR5 for the same capacity. itreseller.pl