Supply expansion and Asian tour

Advanced Micro Devices plans to substantially expand its processor shipments in 2027 to address sustained shortages across data centres, Chief Executive Officer Lisa Su announced during a press conference in Taipei on Tuesday. The United States semiconductor company expanded manufacturing output throughout 2026, yet customer orders for graphics processing units and central processing units continue to outstrip available hardware. Su visited Taiwan to align manufacturing roadmaps with key Asian partners, holding initial talks with Hon Hai Precision Industry, known as Foxconn, and scheduling formal discussions with Taiwan Semiconductor Manufacturing Company. Following her engagements in Taipei, Su scheduled a departure for South Korea later on Tuesday to secure high-bandwidth memory from Samsung Electronics and SK Hynix as memory chips face global constraints.

“We've been able to increase our supply as we've gone through 2026, and we're going to substantially increase our supply in 2027.”

Manufacturing capacity and wafer demand

Securing sufficient fabrication volume requires extensive forward commitments across regional manufacturing hubs. Su explained that AMD currently structures its operational roadmaps three to five years ahead to secure sufficient advanced wafer fabrication capacity. When asked whether TSMC discussed a potential semiconductor facility investment in Texas with AMD, Su did not answer directly but stated that substantial capacity additions remain essential for meeting projected demand. AMD also reaffirmed an investment pledge originally announced in May 2026, committing more than $10 billion to Taiwanese development and supply chain infrastructure over the coming years.

“There's very, very high demand for the next several years. We can see very high demand, and so we need more advanced wafer capacity.”

Market valuation and industry competition

The planned production expansion follows an artificial-intelligence market rally that recently pushed AMD's valuation above $1 trillion. The company operates as the closest competitor to Nvidia in graphics processors used for training and running artificial intelligence models, alongside its long-standing rivalry with Intel in central processing units. Positive financial outlooks from memory producer Micron Technology and strong server hardware shipments reported by Foxconn have reinforced optimism across server supply chains. The expansion also unfolds alongside broader industry risks, including rising corporate debt levels, tightening regulatory frameworks, and the financial danger of overbuilding manufacturing capacity.

Ecosystem cooperation on AI safety

Alongside industrial supply constraints, Su addressed governance and safety standards surrounding advanced artificial intelligence technologies. She remarked that artificial intelligence has the potential to deliver widespread global advantages, but emphasized that hardware and software providers must actively mitigate systemic vulnerabilities. Su urged participants across the technology sector to collaborate on safety protocols rather than operating in isolation. Her statements followed a high-level summit held last week between United States President Donald Trump and leading technology executives in Washington, where participating companies pledged to utilize independent auditors to evaluate whether artificial intelligence architectures operate strictly in line with their intended parameters.