00:00 Speaker A
You mentioned too as well that uh quote customer demand uh for these new technologies is extremely strong. And I look at how from a stock market perspective, we just saw folks react to uh higher CAPEX estimates from a Tesla and an Alphabet. What are our investors missing? Because I talked to you, I talked to others in the chip space, they all tell me demand is strong. So why are we so concerned about hyperscalers raising their CAPEX?
00:27 Speaker B
Yeah, um, I have a true belief on this. Uh, we have to look at the long arc.
00:32 Speaker B
You know, the long arc of technology is, um, I am absolutely convinced of the power of compute. and, you know, when I say, I think AI compute equates to intelligence, and why wouldn’t you want more intelligence? Of course, you want more intelligence.
00:50 Speaker B
Now, the important thing is, where is the return on investment for those investments? Um, we are seeing the return on investments. I mean, the fact is, we are ramping our own AI usage within AMD, um, very significantly, you know, month over month and we’re seeing the productivity come back in just better products, more capable products, uh faster time to market and that will come out as you look at the long arc.
01:15 Speaker B
Now, whether, you know, you see that on a quarter by quarter basis, you know, obviously, uh, you know, that’s um, that’s for, you know, others to think about. But from my standpoint, the long arc, it is absolutely clear that compute demand, um, is at a premium today. Uh, it is, um, the one of the places where you can’t just wake up tomorrow and say you want more compute.
01:36 Speaker B
You have to make those investments, you know, 12, 18, 24 months in advance. Uh, you have to plan the entire supply chain and the entire ecosystem for that. So we are, um, very confident in the demand picture being there and we are ensuring that we have all of the pieces, uh, to ensure that, um, you know, we can, uh, satisfy a larger and larger piece of the overall market.
01:56 Speaker A
This is really important stuff, Lisa, you just brought up. So you’re not seeing there’s no leveling out. Uh, you’re not seeing anything slow down.
02:04 Speaker B
We are not seeing that at all, Brian. I mean, every conversation I have with every large customer is how can we go faster? And, um, like I said, I think it’s a fundamental belief in we believe in the tech and uh, it will return on investment and it’s going to be a very positive cycle.
