ISTANBUL

US chip firm AMD's CEO Lisa Su said Tuesday that over the next three to five years, the company’s overall revenue growth will increase by roughly 35% annually due to the "insatiable" demand for artificial intelligence (AI) chips, CNBC reported.

Su said the company's AI data center business, which is projected to grow at a rate of roughly 80% annually over the same timeframe and reach tens of billions of dollars in annual revenue by 2027, would account for a large portion of the expected revenue growth.

“This is what we see as our potential given the customer traction, both with the announced customers, as well as customers that are currently working very closely with us,” she said.

Su also said that over the next three to five years, AMD could be able to secure a "double-digit" market share in data center AI chips.

According to some estimates, Nvidia presently holds over 90% of the market share for AI chips, giving the business a market capitalization of over $4.6 trillion, whereas AMD is valued at about $387 billion.

In order to develop and power AI applications like OpenAI's ChatGPT, businesses are investing hundreds of billions of dollars on graphics processing unit (GPU) chips, but they are also searching for alternatives to boost capacity and reduce prices.

Apart from Nvidia, AMD is the only other significant GPU manufacturer, according to CNBC.

AMD and OpenAI announced in October that AMD would sell the AI firm billions of dollars in its Instinct AI chips over a number of years, beginning with enough chips in 2026 to consume one gigawatt of power.

OpenAI may ultimately acquire a 10% share in the chipmaker as part of the agreement.

On Tuesday, Su also emphasized long-term agreements with Oracle and Meta.