AMD Says Their GPU Sales To Crypto Miners Were Negligible In Q3

Oct 25, 2018 at 16:30 Update Date :Oct 25, 2018 at 16:30 UTC

As per the quarterly reports of semiconductor manufacturer AMD, the graph of sales of graphics processing unit (GPU) is down to the bottom which leads the sales in the third quarter to negligible.

AMD is an American semiconductor company which in its reports stated that there is a revenue loss of $1.65 billion which is increasing 4% every year. This downfall leads to low revenue in the graphics and graphics business segment.

However, the sales in the company’s Computing and Graphics segment are higher from the previous year. The revenue has seen 12% growth from year to year because of the higher sales of Ryzen desktop and mobile related products. But in the third quarter, the sales were not up to the mark. The average selling price also reduced because of the lower sales in the GPU channel.

According to the CEO of AMD, Lisa Su, blockchain was a distraction for the business of their company. Meanwhile, they praised the importance of blockchain technology. As per her, the blockchain idea can help them in; decentralizing the network, peer-to-peer transactions. Overall, the technology is beneficial to AMD.

In the future, the fourth quarter of 2018, the company is expecting sales to be higher and revenue to be around $1.45 billion. In the fourth quarter of the previous year, the revenue was around $1.34 billion. The rise in the earnings is expected to be 41% due to higher sales in Ryzen, EPYC, and GPU processor sales.

The Nasdaq reports show a major downfall in the stock price of AMD i.e. down 9% to $22.79. Therefore, it is estimated that revenue for the fourth quarter will be lower.

Analysts of the crypto market gave a warning that the stock price of AMD was impacted by the crypto mining, although, the shares of the company had a good growth in the past months.

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