AMD sets a record in Q1 2021 thanks to data centers

AMD sets a record in Q1 2021 thanks to data centers

AMD's first quarter 2021 financial results were excellent: the company reported record revenue in its quarterly reports to investors. AMD's Q1 2021 earnings are $ 3.45 billion, up 93% from Q1 2020. Despite the continuing shortage of semiconductors for consumer CPUs and GPUs, AMD has grown in every segment. Which market segment was instrumental in achieving this striking result?

Products targeting the consumer market earned AMD $ 2.1 billion, driven by sales of Ryzen CPUs and Radeon GPUs. Ryzen processors set new records for revenue and average selling prices: AMD said it increased its market share in the desktop PC segment, stemming Intel on the low-end CPUs and recouping shares at the high-end. As can also be seen from our guide to the best CPUs for PCs, AMD's Ryzen 5000 processors actually seem to have an advantage in terms of performance and price / performance ratio in the high end. Lisa Su, CEO of AMD, also confirmed that the company will continue to focus on developing Ryzen CPUs for the high-end.

AMD also shows good results in the notebook segment. Lisa Su noted that the company is in "sixth consecutive quarter of record revenue for mobile processors". This result is due to the “sustained demand for Ryzen 4000 series processors and the launch of our new Ryzen 5000 series processors (for laptops, ed)”. The data is also confirmed by the announcements of hardware manufacturers: Microsoft with the Surface Laptop 4, Dell with the new Alienware and Dell G15 and the new Rog Strix G513 from Asus adopt or present configurations with AMD CPUs. The GPU market also appears lively: AMD has doubled sales of Radeon 6000 GPUs compared to Q4 2020 and, in the next quarter, aims to further improve the offer of graphics cards - on the other hand we told you how, on Weibo, they are check out the first photos of the alleged Radeon RX 6900 XTX GPU. Meanwhile, the company continues to introduce new features in Radeon Software Adrenalin update 21.4.1 and is working to bridge the gap with Nvidia's Ampere GPUs.

What is decisive for AMD's Q1 2021 is was another segment: the “Enterprise, Embedded, and Semi-Custom” (EESC). AMD's EESC department is involved in semiconductor development for data centers and game consoles. Segment sales increased a staggering 286% from Q1 2020, with earnings of $ 1.35 billion. The very strong sales of Epyc CPUs were decisive, more than doubled for both Epyc Rome and Epyc Milan CPUs. The console segment, on the other hand, appears to be slightly down after the launch of Xbox One X Series | S and PlayStation 5.

AMD reported gross profit margins of + 46%. This has prompted the company to raise its annual revenue outlook to $ 1.3 billion, meaning AMD expects to maintain these extraordinary results throughout 2021. CEO Lisa Su commented on these projections by stating that AMD expects a further increase in demand for both the data center market and the consumer market. In the next quarter, AMD aims to earn an impressive 3.6 billion dollars, an increase of 86% compared to Q2 2020: an impressive forecast considering the lower liveliness of the second quarter of the year and, above all, the crises of the current historical moment.

Do you want to upgrade your PC? AMD Ryzen 5000 CPUs for the consumer market are available, in limited quantities, on Amazon: carpe diem!

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