Nvidia Added Twice AMD’s Data-Center Revenue in One Quarter - Dr. Robert Castellano's Semiconductor Deep Dive Newsletter

In Q3 2026, NVIDIA reported $89 billion in data center revenue, up 117% year-over-year and $13.8 billion sequentially, significantly outpacing AMD’s $6.718 billion. Despite this, AMD’s stock outperfor... Read original →

NVIDIA's Q3 2026 data center revenue reached $89 billion, up 117% YoY, far outpacing AMD’s $6.718 billion. Despite this, AMD’s stock surged 132.2% vs. NVIDIA’s 24.9%, reflecting investor optimism about AMD’s future AI platform, including Instinct accelerators and ROCm. The divergence signals a shift in valuation dynamics, where potential is rewarded over current performance. Technologically, NVIDIA’s dominance reinforces its hold on EUV and software ecosystems, while AMD’s progress pushes the industry toward diversified, open AI infrastructures. Geopolitical tensions, especially around Taiwan, China and Hong Kong, China, are increasing supply chain risks and compliance burdens. In response, AMD may accelerate strategic partnerships and differentiate its architecture from NVIDIA’s. Over the next 12–24 months, the AI chip market will likely see a bifurcation in technical strategies, with NVIDIA’s growth expectations under pressure from valuation concerns, while AMD could gain traction through innovation-driven market positioning.