AMD’s battle with Nvidia on GPUs looks surprisingly similar to $INTC, but there’s one major difference – AMD does not need to overtake $NVDA to win. Below, I map out why AMD’s $AMD next-generation GPU roadmap could continue to support higher returns than Nvidia through 2028.

AMD just crossed $1 trillion. The AI compute race keeps minting giants. According to Reuters, @AMD reached the milestone for the first time on Monday, becoming the fourth US chipmaker to do so, alongside Nvidia, Broadcom and Micron. Investors are betting on AMD’s expanding role in AI computing. A trillion-dollar vote of confidence in the silicon powering the buildout.

AMD joins the $1 TRILLION club! Shares jump almost 10%, lifting its market cap to $1.005tn. It’s the 7th chipmaker to cross the threshold, after Nvidia, TSMC, Broadcom, Micron, Samsung & SK Hynix. From just $90bn in October 2022: an elevenfold increase in under 4yrs.

AMD has shown off a new ray tracing technique that can reduce memory usage from 80 GB to just 1.7 GB in a foliage test on the RX 9070 XT. It also cut the time needed to update ray tracing data from over 300 ms to around 3.3 ms, while handling up to 500 million animated triangles. If this technology works well in games, it could help developers create more detailed worlds, better vegetation, and more complex animations without using as much GPU memory. It’s still a research demonstration, so we don’t know yet how much of a difference it will make in actual games.