AMD CEO Lisa Su on the “Dead Sexy” AI Chips Race - On with Kara Swisher
May 10, 2025
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Lisa Su, the CEO of Advanced Micro Devices (AMD), transformed the struggling semiconductor firm into a major player, even surpassing Intel in market cap. In a lively discussion, she tackles the skyrocketing demand for AI chips, geopolitical challenges, and the implications of the CHIPS Act aiming to rejuvenate U.S. manufacturing. Su shares insights on the tech industry's evolving dynamics, effective strategies for innovation, and the need for global talent in navigating both competition and collaboration in AI advancements.
Lisa Su's leadership transformed AMD from near bankruptcy in 2014 to a major competitor against Intel and NVIDIA in the semiconductor market.
The semiconductor industry is facing significant challenges due to geopolitical tensions, necessitating agility in response to tariff fluctuations and export controls.
Su emphasizes the role of AI advancements as a transformative wave, significantly impacting business models and societal benefits, comparable to the internet revolution.
Deep dives
The Chip Industry's Strategic Importance
The semiconductor industry is positioned as the backbone of the AI race, with significant challenges and opportunities. Lisa Su, CEO of AMD, highlights the crucial role of high-powered chips in AI advancements and the complexities of this industry. Although there is increasing demand for GPUs due to the AI boom, Su emphasizes the competitive landscape that includes not only established giants like Intel and NVIDIA but also emerging players, particularly from China. Su's insights reveal that the chip sector is undergoing rapid evolution and is critical to various technological fronts, reinforcing its strategic importance in global competitiveness.
Navigating Geopolitical Challenges
The ongoing trade tensions, particularly between the U.S. and China, create significant challenges for companies in the semiconductor industry. Su discusses how AMD is affected by tariff fluctuations and export controls, impacting their market strategies, especially in China, which historically has been a major market. She underscores the necessity of agility to respond to these geopolitical shifts while maintaining a focus on long-term growth and innovation. The conversation stresses the adaptability required within the industry to navigate a landscape that is becoming increasingly politicized and protectionist.
AI: A Transformative Wave of Innovation
The emergence of AI, particularly evidenced by applications like ChatGPT, is recognized as a major technological wave within the industry, akin to past technological revolutions. Su views the current AI advancements as a gateway to unprecedented productivity and capability unlocks, emphasizing that we are only in the early stages of this transition. She believes the adoption of AI will evolve past operational efficiencies to fundamentally transform business models, much like the internet did. The insights reveal an optimistic outlook on the potential to harness AI for broader societal benefits while acknowledging that this journey is still in its infancy.
R&D Investments and Future Directions
Investment in research and development is vital as the semiconductor landscape dynamically evolves, especially regarding AI applications. Su asserts that AMD's strategic shift toward AI integration across its product lines showcases their commitment to innovation and competitive advantage. She notes the importance of cultivating partnerships and the role of open ecosystems in fostering further advancements in AI technology. This approach is justified by the notion that diverse and collaborative technological environments can stimulate better outcomes and innovations.
The Role of Skilled Talent and Immigration
Su addresses the critical importance of attracting and retaining skilled talent, particularly through immigration policies that encourage top researchers and engineers to work within the U.S. tech sector. The conversation highlights how the current administration's changes in immigration policy could impact the semiconductor industry and its ability to remain competitive. Su advocates for keeping the U.S. as a hub for technological innovation by ensuring that the brightest minds can contribute to American companies. This foresight underlines the relationship between talent accessibility and sustained economic and technological leadership in a global context.
In 2014, when Lisa Su took over as CEO of Advanced Micro Devices, AMD was on the verge of bankruptcy. Su bet hard on hardware and not only pulled the semiconductor company back from the brink, but also led it to surpass its historical rival, Intel, in market cap. Since the launch of ChatGPT made high-powered chips like AMDs “sexy” again, demand for chips has intensified exponentially, but so has the public spotlight on the industry — including from the federal government.
In a live conversation, at the Johns Hopkins University Bloomberg Center, as part of their inaugural Discovery Series, Kara talks to Su about her strategy in face of the Trump administration’s tariff and export control threats, how to safeguard the US in the global AI race, and what she says when male tech leaders brag about the size of their GPUs.
