AMD data center revenue up 97%... no gross margin target provided for 2027

AMD reported third-quarter revenue of $13.4 billion, with data center segment sales up 97% year over year to $8.5 billion, driven by EPYC processor demand and the launch of its Instinct MI450 series GPUs. Gross margin came in at 54% on a GAAP basis and 56% non-GAAP. The company declined to break out revenue between server CPUs and data center AI products, and it did not provide a 2027 gross margin target. The results matter because they show AMD's AI hardware business scaling rapidly even as management withholds key disclosure on segment mix and long-term profitability. Investors will watch for the MI450 ramp, any future breakdown of CPU versus AI accelerator revenue, and margin guidance beyond the current fiscal year.