2 days Ago By Yahoo Finance Video
and sit down with Stifel applied technology analyst Ruben Roy to discuss Advanced Micro Devices ( ) recent merger and acquisition (M&A) activity and how it will affect competition in the chip sector. “AMD, over the last six to eight months, has put in quite a few acquisitions, almost $1 billion worth of software-specific acquisitions," Roy tells Yahoo Finance, including the multi-billion dollar deal on ZT Systems. The analyst finds that "having systems expertise and the ability to put these systems together quickly” to be put into the network as the demand for capacity continues to go up and to the right” could be “a differentiator” for AMD “I wouldn't say AMD necessarily is catching up to Nvidia ( ) overnight, but certainly it sounds to us looking at these acquisitions that's where the company strategy is focused, trying to become a number two player to what Nvidia has established.
” For more expert insight and the latest market action, click to watch this full episode of Market Domination. Video Transcript And Reuben, I wanna end on a name that you are bullish on and that is a MD. You've mentioned that company several times and look, this is a company that has been at the center of a lot of M and a recently, what sort of acquisitions are we seeing from A MD? And how does that change the competitive landscape here? Yeah, and that's a really interesting topic, I think because, you know, whereas Intel is, you know, trying to re establish itself around manufacturing and, and maybe, you know, kind of re calibrating what they wanna do on the design front.
We're seeing, like I said, companies like NVIDIA expanding uh not just their GP or A I compute, but their networking uh capabilities as well as their system infrastructure capabilities and certainly software tying all that together. So A MD over the last uh 68 months has, you know, put in quite a few acquisitions, almost a billion dollars worth of software specific acquisitions. And then recently quite a large acquisition for the company, multi billion dollar deal on a systems company, uh a company that's expert in engineering services and putting together so called rack scale A I uh infrastructure.
And why is that important? That's important because that's where the market is moving, the market's moving to. Like I said, much, much larger clusters of training compute and having um systems expertise and the ability to put these systems together quickly that could be validated quickly and put into network as the demand for capacity continues to go up into the right. I think it's gonna be a differentiator.
And so, uh I wouldn't say a MD necessarily is catching up the video overnight, but certainly it sounds to us looking at uh these acquisitions that that's where the company strategy is focused, trying to become a number two player to what NVIDIA has established in generating. Um you know, a lot of revenue from, like I said, not just compute but overall A I infrastructure. And I think that's really interesting as we think about the next several years, Reuben Roy from steel.
Thank you so much for taking the time. We certainly covered a lot of ground here and there's more that we'll have to dig into later. Appreciate it.
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