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To: neolib who wrote (70991)	10/3/2025 11:17:09 AM
From: Joe NYC	Respond to of 72186

They said that console had a big jump in Q2 and would go down from there. But I don't think they guided gaming GPU.

To: neolib who wrote (70991)	10/6/2025 5:21:38 AM
From: Vattila	Respond to of 72186

As Joe noted, AMD reported that the usual console chip sales peak was in Q2, guiding sales down in the second half. Discrete gaming GPU sales typically peak in Q4. So my round-number estimate of $1B may already be on the high side — I’d be surprised if the actual comes in above that. However, what is remarkable is the bounce back in the client segment. My $2.7B estimate would mark another consecutive record, following the previous high in 2024-Q4, with operating margin now a respectable 26%. That’s a big turnaround. I chided the low margins a while ago, after the long post-pandemic stretch of dismal results (averaging -3% operating margin from 2022-Q3 to 2024-Q2). Of course, that period was also shaped by Intel’s scorched-earth tactics — the last act in Pat Gelsinger’s playbook. What is driving the extraordinary rebound now? Is it simply a return of demand (with Windows 10 support expiring in just a week), stronger products versus Intel (Zen 5 notebook chips), or Intel easing off the price war and returning to sustainable competition (ASP and share normalising)? Or maybe it is just a favourable mix of all three? Data centre sales will be the main attraction, of course. But regardless of where the numbers land, this will be another record quarter for this segment as well. Whether it beats expectations depends only on the pace of AMD’s AI ramp. Demand is there, execution has been excellent (acquisitions, software stack improvements, Instinct cadence and roadmap) and the prospects are tangible.