Arm Holdings and AMD Rise Amid March Sell-Off
Arm Holdings (NASDAQ: ARM) and Advanced Micro Devices (NASDAQ: AMD) both saw stock price increases in March, despite a broader tech sell-off. This growth positions them favorably as the artificial intelligence (AI) infrastructure market is set to evolve, with a projected $100 billion data center CPU market by 2031. Arm aims to capture $15 billion in revenue from its new CPU chips, contributing to a total forecast of $25 billion revenue during this period.
Advanced Micro Devices leads the data center CPU market with $16.6 billion in revenue last year and has opportunities to expand significantly with its new chiplet design and existing GPU partnerships valued at over $100 billion. The increasing demand for high-performance CPUs, particularly for AI agents, is set to benefit both companies as they capitalize on this shift away from reliance on GPUs.
