AMD is increasing production capacity to solve the problem of shortage of graphics cards

AMD RX 6000 series graphics cards are very powerful. After many years, there is finally a product that can compete with NVIDIA in the high-end market. Unfortunately, the semiconductor industry soon encountered a tight supply and AMD was unable to meet the market’s demand for new graphics cards. But AMD is working hard to increase the output of graphics cards, vowing to solve the problem of GPU shortage.

AMD 2021Q1 financial

AMD CEO Dr. Lisa Su said on the earnings call:

We expect Radeon 6000 Series GPU sales to grow significantly over the coming quarters as we ramp production.

We see good customer ordering patterns and strong backlog. And then we have also seen that the supply chain has been tight overall for the semiconductor industry. And we’ve been working very closely with our supply chain partners. And so we also have good visibility to additional supply as we go throughout the year.

And whether you’re talking about consoles or you’re talking about PC gaming or you’re talking about the overall sort of gaming ecosystem, there’s a significant demand. And so we believe there’s strong demand, and we’re continuing to ramp supply to meet that.

Of course, it is not a simple matter to increase the supply of GPUs. At present, AMD’s GPUs are all manufactured by TSMC, and TSMC’s production line is 100% fully loaded, and the current production cycle of the process is about three months. AMD may not ship orders until sometime this summer.

The Radeon RX 6000 series graphics cards are very successful. AMD’s graphics revenue in the first quarter of 2021 will increase by double-digit year-on-year. However, due to lack of stock, all graphics cards are currently sold at higher than suggested retail prices, so it is a difficult task for AMD and NVIDIA to increase the sales of graphics cards.

Via: wccftech