(MENAFN) AMD Chief Executive Lisa Su projected Tuesday that artificial intelligence processor demand will propel the semiconductor manufacturer to approximately 35% yearly revenue expansion across the coming three-to-five-year period, media disclosed.

The executive attributed much of this anticipated growth trajectory to the company's AI-focused data center division, forecasting that segment will surge roughly 80% per year through the identical timeframe while generating tens of billions in annual sales by 2027.

"This is what we see as our potential given the customer traction, both with the announced customers, as well as customers that are currently working very closely with us," she said.

Su further indicated AMD could capture a "double-digit" portion of the data center AI semiconductor market within three to five years.

Current industry assessments suggest Nvidia commands more than 90% of AI chip market dominance, translating to a valuation exceeding $4.6 trillion, while AMD stands at approximately $387 billion in market capitalization.

Corporations are channeling hundreds of billions into graphics processing unit (GPU) technology to build and operate AI systems such as OpenAI's ChatGPT, yet simultaneously seeking competitive alternatives to expand capacity and lower expenditures.

Beyond Nvidia, AMD represents the sole other major GPU producer, media noted.

In October, AMD and OpenAI revealed a multi-year partnership wherein the AI developer will purchase billions in Instinct AI processors, commencing with sufficient 2026 chip volumes to consume one gigawatt of electricity.

The arrangement potentially grants OpenAI a 10% equity stake in the chipmaker.

Tuesday's announcement also saw Su spotlight extended contracts with Oracle and Meta.

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