AMD Faces $800 Million Risk Due to New U.S. Export Controls on China

Advanced Micro Devices (AMD) disclosed that new U.S. government export controls now apply to its MI308 semiconductor products, restricting their sale to China, Hong Kong, Macau, and other D:5 countries or related entities. AMD is planning to apply for export licenses but noted there is no guarantee they will be approved.

As a result of these controls, AMD estimates potential charges of up to approximately $800 million related to inventory, purchase commitments, and reserves. The company emphasized that these projections are forward-looking and subject to risks and uncertainties, including changes in regulatory policy, market demand, and other external conditions.