AMD CEO Lisa Su said Tuesday the chipmaker will substantially increase chip supply in 2027 and lift its Taiwan investment beyond $10 billion as artificial intelligence demand outpaces production.
Key Points:
- AMD plans a substantial supply increase in 2027 after raising output through 2026, Su told reporters in Taipei.
- Su met Foxconn and other Taiwan partners ahead of TSMC talks, with a South Korea stop planned for memory supply.
- AMD now plans capacity three to five years ahead and says memory and advanced packaging remain tight.
AMD Supply Plans
Su told reporters in Taipei that one purpose of her one-day visit was to ensure suppliers can raise CPU and GPU production to meet AI demand. CPU demand still exceeds what AMD can ship even after output rose through this year, she added. "We've been able to increase our supply as we've gone through 2026, and we're going to substantially increase our supply in 2027, but we can definitely use more," Su said.
She met Foxconn Chairman Young Liu and executives from Acer, Asus and Quanta before heading to Hsinchu for talks with TSMC and other suppliers. Her schedule then called for a trip later Tuesday to South Korea, home to memory makers Samsung and SK Hynix, for talks on memory supply.
Su also said AMD will raise its Taiwan supply chain investment above the $10 billion announced in May. She gave no new figure. "We're increasing that number going forward because our demand has continued to go up," Su said.
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Lisa Su Demand Outlook
Su did not directly answer a question about a possible TSMC investment in Texas, which the foundry is reportedly evaluating. "There's very, very high demand for the next several years," she said, adding that the company needs more advanced wafer capacity.
AMD once planned capacity one or two years out and now coordinates with suppliers three to five years ahead so wafer and packaging capacity expand together, according to Su. The squeeze reaches beyond processors. Memory remains tight, including the high-bandwidth memory used in AI servers, and AMD also needs more advanced packaging capacity, she said.
Asked whether AMD might invest directly in a chip plant, Su said the company will stick with its model of partnering with major suppliers.
AMD, Nvidia's closest rival in AI graphics processors, began shipping its Helios AI systems in the third quarter and recently topped $1 trillion in market value.
Tuesday's remarks follow a May visit, when Su described the CPU market as tight, citing AI inference and agentic AI, and said supply would rise every quarter this year. AMD pledged more than $10 billion for Taiwan's AI sector at the time, focused on advanced packaging, substrates and manufacturing for rack-scale systems. She said then that the co-investment with partners would secure capacity for expansion through 2029.
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