AMD shares rise 10% after announcing an agreement with Meta (Facebook)

Along with the announcement of its new EPYC Milan-X CPUs with 3D V-Cache and its future EPYC “Genoa” and “Bergamo” CPUs with up to 128 cores, AMD also announced a collaboration with Meta, Facebook’s new parent company under which they will seek to broaden their metaverse proposition.

One of the aspects where Meta plans to compete is the market for cloud solutions, and for this it will obviously require a huge number of processors and computer cards, so this agreement with AMD implies that the Reds are securing a large amount of sales. of their EPYC CPUs and Instinct computer cards, which put investors in a very good mood.

Hours after this announcement, AMD shares rose as much as 12% which then fell to 10% over the price at which they started yesterday morning, marking a huge jump in price. This adds to an upward trend that the brand’s shares had already been experiencing, which already increased by 39.92% in the last month, an impressive figure.

According to the latest earnings report from AMD, EPYC CPUs already represent 20% of the company’s earnings, and this figure is increasing, so it would not be surprising if this agreement together with the new agreements with companies such as Amazon and Google allow it to reach 30% or even more, significantly increasing the profits of the red company. The truth is that investors at the moment are very happy with what has been achieved under the mandate of Lisa Su, and they trust more and more in the shares, something that is being clearly reflected in their price.

What do you think about the great present that AMD is living? Do you think these new agreements with companies like Meta will help the company grow even more?