2nd Gen AMD EPYC™ Processors Set New Standard for the Modern Datacenter with Record-Breaking Performance and Significant TCO Savings

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About AMD

For 50 years, AMD has driven innovation in high-performance computing, graphics and visualization technologies - the building blocks for gaming, immersive platforms and the datacenter. Hundreds of millions of consumers, leading Fortune 500 businesses and cutting-edge scientific research facilities around the world rely on AMD technology daily to improve how they live, work and play. AMD employees around the world are focused on building great products that push the boundaries of what is possible. For more information about how AMD is enabling today and inspiring tomorrow, visit the AMD (NASDAQ: AMD) website, blog, Facebook and Twitter pages.

Cautionary Statement  

This press release contains forward-looking statements concerning Advanced Micro Devices, Inc. (AMD) including the features, functionality, availability, timing, deployment and expectations of AMD’s future products, including the 2nd Gen AMD EPYC server processor family, which are made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are commonly identified by words such as "would," "intends," "believes," "expects," "may," "will," "should," "seeks," "intends," "plans," "pro forma," "estimates," "anticipates," or the negative of these words and phrases, other variations of these words and phrases or comparable terminology. Investors are cautioned that the forward-looking statements in this document are based on current beliefs, assumptions and expectations, speak only as of the date of this document and involve risks and uncertainties that could cause actual results to differ materially from current expectations. Such statements are subject to certain known and unknown risks and uncertainties, many of which are difficult to predict and generally beyond AMD's control, that could cause actual results and other future events to differ materially from those expressed in, or implied or projected by, the forward-looking information and statements. Material factors that could cause actual results to differ materially from current expectations include, without limitation, the following: Intel Corporation’s dominance of the microprocessor market and its aggressive business practices; the ability of  GLOBALFOUNDRIES Inc. (GF) to satisfy AMD’s manufacturing requirements; the ability of third party manufactures to manufacture AMD’s products on a timely basis in sufficient quantities and using competitive technologies; the ability of third party manufacturers  to achieve expected manufacturing yields for AMD’s products;  AMD’s ability to introduce products on a timely basis with features and performance levels that provide value to its customers while supporting and coinciding with significant industry transitions; AMD’s inability to generate sufficient revenue and operating cash flow or obtain external financing that may adversely impact its planned investments in research and development or other strategic investments; the loss of a significant customer; AMD’s ability to generate revenue from its semi-custom SoC products; global economic and market uncertainty may adversely impact AMD’s business and operating results; AMD’s worldwide operations are subject to political, legal and economic risks and natural disasters; potential security vulnerabilities that could have a material adverse effect on AMD; potential IT outages, data loss, data breaches and cyber-attacks; AMD’s  ability to generate sufficient cash to service its debt obligations or meet its working capital requirements; AMD’s large amount of indebtedness could adversely affect its financial position and prevent it from implementing its strategy or fulfilling its contractual obligations; the restrictions imposed by agreement governing AMD’s notes and its secured revolving facility; the competitive markets in which AMD’s products are sold; the potential dilutive effect of the 2.125% Convertible Senior Notes due 2026 if converted; uncertainties involving the ordering and shipment of AMD’s products; the market conditions of the industries in which AMD products are sold; AMD’s reliance on third-party intellectual property to design and introduce new products in a timely manner; AMD's reliance on third-party companies for the design, manufacture and supply of motherboards, software and other computer platform components; AMD's reliance on Microsoft Corporation and other software vendors' support to design and develop software to run on AMD’s products; AMD’s reliance on third-party distributors and add-in-board partners; future impairments of goodwill and technology license purchases; AMD’s ability to attract and retain qualified personnel; AMD's ability to repurchase its outstanding debt in the event of a change of control; the cyclical nature of the semiconductor industry; future acquisitions, divestitures, joint ventures and/or investments could adversely affect AMD's business; modification or interruption of AMD’s internal business processes and information systems may disrupt its business, processes and internal controls; the availability of essential equipment, materials or manufacturing processes; compatibility of AMD’s products with some or all industry-standard software and hardware; costs related to defective products; the efficiency of AMD's supply chain as it responds to changes in customer demand for its products; AMD's ability to rely on third party supply-chain logistics functions; AMD’s stock price volatility; unfavorable currency exchange rate fluctuations could adversely affect AMD; AMD’s ability to effectively control the sales of its products on the gray market; AMD's ability to adequately protect its technology or other intellectual property in the United States and abroad; current and future claims and litigation; and environmental laws, conflict minerals-related provisions and other laws or regulations that could result in additional costs and liabilities. Investors are urged to review in detail the risks and uncertainties in AMD's Securities and Exchange Commission filings, including but not limited to AMD's Quarterly Report on Form 10-Q for the quarter ended June 29, 2019.

AMD, the AMD Arrow logo, EPYC, and combinations thereof, are trademarks of Advanced Micro Devices, Inc. PCIe is a registered trademark of PCI-SIG corporation. Other names are for informational purposes only and may be trademarks of their respective owners.

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1 For a complete list of world records see http://amd.com/worldrecords.  ROM-169
2 Results as of 8/7/2019 using SPECrate(R)2017_int_base. The EPYC 7742 2P score is 654 on the SPECrate®2017_int_base, https://spec.org/cpu2017/results/res2019q3/cpu2017-20190722-16242.html.  EPYC 7601 2P score of 304 results at http://spec.org/cpu2017/results/res2019q2/cpu2017-20190411-11817.pdf.  654 / 304 = 2.15 or 2x higher integer performance for the EPYC 7742. SPEC®, SPECrate® and SPEC CPU® are registered trademarks of the Standard Performance Evaluation Corporation. See www.spec.org for more information. ROM-37
3 Based on 25% TCO improvement claimed by Twitter in EPYC Horizon presentation 8.7.2019; and AMD estimated TCO improvement of up to and 50% TCO in virtualized infrastructure. TCO-3
4 Comparison results calculated by AMD based on a hypothetical scenario hosting 2,560 virtual machines on 2-socket Intel Xeon 6242 (32 total cores) based systems versus AMD EPYC™ 7702P (64 total cores) based No Compromise Single Socket Systems, excluding software application costs.  Each virtual machine is allocated one core and 8GB of DRAM, resulting in 80 Intel based systems (2,560/32) and 40 AMD EPYC based systems (2,560/64).  System Configurations:  Intel Xeon based servers in 2U Rack Mount chassis, with (2) Intel® Xeon® Gold 6242 2.8GHz base frequency, 16 cores/32 threads, (16) 16GB RDIMM DDR4 2933MT/s, Dual Rank DIMMs, (1) 480GB SSD SAS Mix Use drive, one dual port 10GbE ethernet adapter, dual hot swap power supplies w/cables, and OEM standard warranty with estimated price of $21,196 each for a total hardware acquisition price of $1,695,680.  AMD EPYC based servers include - (40) 1U Rack Mount chassis with (1) AMD EPYC 7702P 2.0GHz base frequency, 64 cores/128 threads, (16) 32GB RDIMM DDR4 2933MT/s, Dual Rank DIMMs, (1) 480GB SSD SAS Mix Use drive, one dual port 10GbE ethernet adapter, dual hot swap power supplies w/cables, and  OEM standard warranty with estimated price of $23,696 each for a total hardware acquisition price of $947,840.  Estimated System Pricing: AMD Estimated Pricing based on select OEM list pricing as of 7/30/2019 for Intel based systems and AMD projected OEM list pricing as of 8/7/2019 for AMD EPYC based systems. Pricing is an AMD estimate only – actual system pricing will vary by system and by seller.  Power cost estimate is an internal AMD estimate based on Intel Xeon based system input power - 498 watts, AMD EPYC-based system input power - 389 watts electricity cost calculated at $0.12/kw/hr with an assumed PUE of 2.0.  Intel Xeon power cost/server/year is estimated at $1,047, AMD EPYC power cost/server/year is estimated at $818 for a three year total power cost of  $251,280 and  $98,040 for an estimated total power savings of 61%.  Datacenter space costs include 160 U’s for Intel Xeon-based Systems or 4 Rack Cabinets and 40 U’s for AMD EPYC-based Systems or 1 Rack Cabinet – AMD internal estimate of Data Center space cost of $19,053 per cabinet per year results in 3 year space costs of $228,636 and $57,159 respectively – a 75% savings.  Server Administration cost is calculated with an estimate of $85,795 per server administrator with a ratio of one server administrator per 30 servers resulting in 3 year estimated administration costs of $686,360 for 80 Intel Xeon-based Systems and $343,180 for 40 AMD EPYC-based systems – 50% savings.  Licensing costs are calculated using VMware vSphere Enterprise Plus licensed per socket and priced as of 7/28/2019 on www.cdw.com at $3,612 each for a total 3-year cost of $577,920 for (80) Intel Xeon-based 2 socket systems and $144,480 for (40) AMD EPYC No Compromise Single Socket-based Systems.   Total estimated 3 Year TCO as a result is $3,439,876 for Intel-based Systems and $1,590,699 for AMD EPYC-based systems resulting in an estimated TCO/VM/YR of $448 and $207 respectively – a 54% savings including virtualization management software licenses but excluding other software costs.  This scenario contains many assumptions and estimates and, while based on AMD internal research and best approximations, should be considered an example for information purposes only, and not used as a basis for decision making over actual testing. TCO-2

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