AMD's Server CPU Business Expected to Grow More Than 70% in 2027, Morningstar Says

According to Morningstar, AMD's server CPU business is expected to grow more than 70% in 2027, driven by AI infrastructure demand, while the company's overall data center business is projected to grow more than 100%. The projection comes after AMD's Q2 results, which reinforced the research firm's long-term AI thesis. AMD reported data center revenue growth of 107% year-over-year to $6.7 billion in Q2, with Helios platform shipments tracking ahead of initial expectations.

During the post-earnings call on Wednesday, CEO Lisa Su said the AI infrastructure market is "expanding far more rapidly" than the company had projected six months ago. As AI moves into production across broader applications and workloads, demand for both accelerators and CPUs is growing well above AMD's prior expectations. AMD now forecasts the data center AI accelerator market to grow more than 45% annually to roughly $1.4 trillion by 2030, while the server CPU market is expected to expand more than 50% annually to approximately $220 billion over the same period.