Analyst Mark Lipacis said in a note that AMD will have a chip with higher transistor density than Intel for the first time in recent history by the second half of next year. “We see this as a foundational shift in competitive dynamics. Meanwhile, our checks also suggest that AMD continues to take share in high-end notebooks,” Lipacis said.
AMD shares jumped 9.1% Tuesday.
AMD is expected to beat Intel to market with a more advanced chip. Intel stated that its 10 nanometer chips will be released for holiday 2019 after delays pushed back plans to roll them out earlier. Meanwhile, AMD is anticipated to have 7 nanometer next-gen server chips next year. Smaller nanometer chipmaking technologies have allowed companies to create faster and more efficient chips.
AMD makes up 4.9% of SOXX’s underlying portfolio and 5.1% of SMH’s holdings.
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