AMD (AMD.US) AI Conference Arrives This Week! UBS: CPU/GPU Technology Roadmap is the Highlight; Customer Expansion Expectations Should Not Be Set Too High

According to Zhitong Finance APP, AMD (AMD.US) will hold its annual flagship AI conference "Advancing AI 2026" in San Francisco, USA, from July 22 to 23 (local time). UBS released a preview report stating that this event may focus more on showcasing technology rather than announcing clients or financial information. AMD is expected to announce the latest progress in its data center CPU (including Venice and Verano) and GPU (MI450x and MI500) technology roadmaps; updates on embedded and gaming graphics card businesses will also be released. UBS maintains a "Buy" rating on AMD and has raised its price target from $670 to $700.

UBS stated in the report that the timing of AMD's Advancing AI event is before Intel's earnings release and about two weeks before AMD's own financial report. Investors are focused on whether the company can expand its AI client base beyond OpenAI and Meta, but UBS believes this event will emphasize technology roadmap announcements rather than significantly adjusting financial models.

On the client front, UBS still believes that Amazon will remain a core major client for MI450x, and Anthropic may also be on the client list, but the bank advises investors to lower expectations for any official announcements of new clients at this event.

Besides potential client cooperation announcements, UBS expects AMD to provide a comprehensive update on its AI product roadmap: revealing more details of MI450x Helios and the MI500 series, potentially releasing information about the MI600 roadmap ahead of schedule, and possibly elaborating on plans related to emerging distributed inference computing power loads.

In addition to AI accelerator chips, UBS expects AMD to offer a more optimistic outlook on the server CPU market. The last formal update on AMD’s total addressable market (TAM) for server CPUs was in the Q1 2026 financial report, when it projected the market could reach $120 billion by 2030, but since then, industry data has significantly strengthened.

UBS anticipates AMD will officially announce the mass production of the next-generation EPYC server processor code-named "Venice", while disclosing more information about Verano products. UBS believes Verano will use TSMC's 2-nanometer process and be equipped with a SOCAMM2 memory solution based on LPDDR. Considering the explosive growth in computing power demand driven by agent AI, AMD may reveal the CPU roadmap following Verano.

On the client business side, as Intel accelerates progress on its 18A process-based Panther Lake laptop chips, UBS expects AMD to update the progress of its RYZEN laptop product line, further elaborate on plans for the desktop Zen 6 architecture’s transition to the 2-nanometer process, and disclose the R&D progress of Ryzen Al Halo. Ryzen Al Halo is AMD’s product designed to compete with NVIDIA DGX Spark, targeting the rapidly emerging personal AI device market.

Boosted by continued above-expectation demand for AI computing power and infrastructure, UBS has raised its overall performance forecast for AMD: Fiscal year 2026 revenue/diluted EPS raised from $50 billion/$7.61 to $51 billion/$7.69; fiscal year 2027 revenue/diluted EPS raised from $79 billion/$13.47 to $83 billion/$14.63. Fiscal year 2027 GPU revenue forecasts were raised from $38 billion to $41 billion; fiscal year 2028 from $54 billion to $61 billion.