BofA Raises AI Chip Outlook, Names AMD and Nvidia as Top Picks

TLDR

• Bank of America raised its 2030 server CPU market forecast to over $210 billion, up from $170 billion
• Expected annual growth rate lifted to 36% from 30%, driven by AI agent workloads
• AMD named as top CPU pick for its dual leadership in frequency and core count
• Nvidia retained its position as BofA’s overall top semiconductor pick
• The broader data center systems market is forecast to reach $2.2 trillion by 2030

Bank of America has raised its outlook for the server CPU market, citing the rise of AI agents as a key driver of demand for central processing units inside data centers.

Analyst Vivek Arya updated the firm’s 2030 server CPU total addressable market estimate to more than $210 billion. That is up from a prior forecast of around $170 billion.

The bank says the new figure represents nearly five times growth from the roughly $35 billion level expected in 2025. The projected compound annual growth rate has also been lifted, from 30% to 36%.

The revision follows second-quarter earnings results and what the bank described as strong AI compute and memory demand trends.

… Continue reading the full article at the original source below.