Maybe investors should rethink why they are upset with hyperscalers like Alphabet (GOOG, GOOGL) for hiking their capital expenditure plans to support their AI ambitions.
Not only is the technology’s usefulness rapidly rising, according to AMD CEO Lisa Su, but demand is exceptionally strong
That makes investing today critical to long-term success, Su said. “We’re seeing the returns on investment,” Su told Yahoo Finance (see video above). “Demand for compute is at a premium today. … We are very confident in the demand picture being there.” AMD (AMD) unveiled its next-generation AI chips this week, headlined by the Instinct MI450 Series GPUs and the 6th Gen EPYC “Venice” CPUs. The new chips are designed to power AMD’s new Helios rack-scale AI systems, which combine GPUs, CPUs, networking, and software into an integrated platform for training and running large AI models. The product announcement came alongside two new deals that sent the bulls back into AMD’s stock, which had been trading sideways for most of July.
Shares are still up a sizzling 106% in the past six months, according to AlphaSpace data. AMD said Microsoft (MSFT) will deploy Helios across Azure AI services beginning in the second half of 2026. It also announced a major tie-up with Anthropic (ANTH.PVT) that significantly expands its push to challenge rival Nvidia (NVDA) in the AI infrastructure market.