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AMD CEO Hints at RDNA 4 Amid 69% Gaming Revenue Decline

AMD CEO Hints at RDNA 4 Amid 69% Gaming Revenue Decline
AMD CEO Lisa Su presenting at CES 2023.
AMD

AMD enthusiasts have been buzzing about the expected launch of AMD’s next-generation RDNA 4 graphics cards. Recently, AMD’s CEO Lisa Su clarified many of these speculations. While earlier predictions suggested that AMD’s most advanced graphics cards would debut at the close of 2024, the company has now confirmed that the RDNA 4 series is scheduled for an early 2025 release. This news comes on the heels of a substantial decrease in AMD’s gaming revenue.

For several months, AMD has remained tight-lipped about RDNA 4, commonly referred to as the RX 8000 series. However, various leakers have provided insight regarding the anticipated release timeline for these new GPUs. At the start of 2024, there was optimism among insiders, with some suggesting the RX 8000 series could hit the market as early as summer. As time passed without an announcement, many adjusted their forecasts, predicting a launch in 2025 instead. Insights from AMD’s third-quarter earnings call have confirmed these latter predictions were indeed accurate.

During the earnings call, Su addressed the noticeable downturn in gaming graphics revenue, underscoring the preparation for the RDNA 4 architecture release. “In gaming graphics, revenue declined year-over-year as we prepare for a transition to our next-gen Radeon GPUs,” she stated, as referenced by VideoCardz. She further emphasized that the RDNA 4 series will present not only a marked improvement in gaming performance but also enhanced ray tracing capabilities and the integration of new AI features.

RX 7900 XTX and RX 7900 XT displayed against a pink background.
Jacob Roach / Digital Trends

Su’s remarks about performance improvements spark curiosity. AMD has indicated a focus on the mainstream market for its upcoming GPUs, as discussed in a recent dialogue with Tom’s Hardware. Some leakers suspect that the new flagship may not surpass the RX 7900 XTX in terms of performance, leading to skepticism surrounding the anticipated increase. However, AMD aims to enhance the performance-to-cost ratio of its GPUs, which could be a strong selling point.

A previous earnings call revealed a staggering 48% year-over-year drop in AMD’s gaming revenue. The outlook appeared bleak, and the recent report shows that AMD’s gaming segment revenue plummeted by 69% compared to the prior year, attributing this decline primarily to a “decrease in semi-custom revenue.”

As competitors like Nvidia gear up for their RTX 50-series launch in early 2025, and with both companies poised to announce new developments at CES 2025, the GPU market is gearing up for a competitive showdown.

  • rukhsar rehman

    A University of California alumna with a background in mass communication, she now resides in Singapore and covers tech with a global perspective.