Amd's R&D spending increased significantly in 2018
Table of contents:
- AMD R&D spending has increased by almost 20% in 2018
- Comparative table with investment in millions of dollars
The year 2018 of AMD has been for the memory, obtaining numbers of benefits that the company has not achieved since 2011, thanks above all to the success of its Ryzen processors and its EPYC server chips.
AMD R&D spending has increased by almost 20% in 2018
The most impressive accolade AMD has as a company is its ability to challenge manufacturers like Intel on a shoestring budget. In the fourth quarter of 2018, Intel earned more than 10 times what AMD could offer in terms of revenue, while maintaining higher product margins, putting AMD in a position where it should not be able to compete, at least in terms of R&D spending.
Despite this, AMD has shaken the CPU market to its foundations, with its Zen architecture that not only ensures its growth and profitability, but the possibility of surpassing Intel in 2019 thanks to its new Zen 2 architecture and the use of a leading edge 7nm node.
Comparative table with investment in millions of dollars
| R&D Budget (Millions) | 2017 | 2018 | Increment (YoY) |
| Q1 | $ 271 | $ 343 | 26.6% |
| Q2 | $ 285 | $ 357 | 25.3% |
| Q3 | $ 320 | $ 363 | 13.4% |
| Q4 | $ 320 | $ 371 | 15.8% |
| Total annual | $ 1, 196 | $ 1, 434 | 19.8% |
AMD's priority at the moment is to ensure that Zen is not a single-bullet cartridge, which means that its new profits must go towards research and continued development of new technologies. When comparing 2018 with 2017, we can see that the R&D budget has increased by almost 20%, increasing annual spending from $ 1, 196 million to $ 1, 434 million.
This is great news for AMD, as this increased investment will allow the company to continue delivering high-quality products for years to come.
In 2019, AMD expects its Ryzen and EPYC series processors to continue to experience sales growth, especially in mid-2019, when the company has its 7nm Zen 2 products on the street. The red company hopes to achieve a significant boost in both core performance and energy efficiency with its next-generation designs.
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