AMD confirmed next-generation Zen 2 cores is ready

In Q4 2017 earnings call, AMD confirmed next-generation Zen 2 cores is complete and ready for 2018. Next-generation Zen cores may be available in 2019.

AMD now Confirms That Zen 2 Core Design is Complete. it will be available in late 2018 for sampling, and in 2019 you will see it in products. AMD seems to be already working on the next version of zen which includes Zen+ and Zen 2. During the earnings call, AMD confirmed that Zen 2 design is complete and they will start sampling it to customers in late 2018. Dr.Lisa Su, AMD’s CEO, stated that they have completed milestones that were key in the development of their next generation Zen 2 server platforms for next epyc cpu.

AMD New RoadMap Of New Ryzen CPUs and Vega GPUs - credit by AMD

AMD New RoadMap Of New Ryzen CPUs and Vega GPUs – credit by AMD

In the server market, we will continue to work closely with major cloud vendors and OEMs to ramp their first generation EPYC-based systems while also completing key development milestones on our next generation Zen 2 based server platforms. Our Zen 2 design is now complete and we will be sampling to our customers later this year. Dr.Lisa Su at AMD

What AMD means by next-generation Zen 2 based server platforms is the successor to Zen based EPYC processors. EPYC cpu is based on the first generation Zen core. The EPYC processors have disrupted the Intel x86 dominance in the datacener and server market and the recent security exploits (Meltdown / Spectre) will put even more pressure on Intel in the server market where customers may now be willing to shift to AMD’s beefy server offerings.

Many believe that AMD can benefit from the fact that EPYC chips’ are being offered in lower cost and more energy efficient that makes them less costly for the consumers over time (which is a factor in servers and datacenters and the energy bills are huge in 24/7 high work load systems), and simplification of the future development roadmap and the performance per watt is attractive and the company has seen some good traction lately.

Forbs goes further and estimates the global server CPU shipments in 2019 to reach 26 million, meaning a 10% market share gain will imply 2.6 million server CPUs shipped. Therefore, the incremental server revenue will be roughly $1.4 billion ($550 for  average processor pricing in server industry). This push, would increase AMD’s EBITDA by $250 million (18% EBITDA margin) and lead to incremental earnings of $160 million, or 17 cents per share. This, in turn, would imply a 25% jump in EPS in 2019.

Read the full report Here

Tags: Technology, amd, amd stocks, amd value, amd epyc, amd ai, amd epyc cpus, amd market share, zen 2, zen+, amd zen 2, amd zen+

Mohsen Daemi
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