AMD’s $1.5B Warning: Chip Curbs Could Backfire

Navigating the Silicon Crossroads

AMD is sounding the alarm on the potential fallout from sweeping U.S. export controls on advanced technologies, particularly those affecting chip sales to China. Speaking at a recent industry event, CEO Lisa Su highlighted that export restrictions tied to national security concerns are projected to cost the company approximately $1.5 billion in revenue for 2024. Su emphasized the need for a carefully calibrated approach—one that protects national interests but also supports continued U.S. leadership in semiconductor innovation. “We need to have national security,” said Su, “but we also need to not broadly stop U.S. companies from competing in important markets.” AMD’s comments reflect growing anxiety among chipmakers about the long-term impact of geopolitical tensions on the tech economy.

Export Controls with a Double-Edged Impact

At the heart of the controversy are strict U.S. guidelines that limit the sale of high-performance chips—primarily those used in AI and data center applications—to Chinese entities. While the Biden administration and national security officials maintain these limits are crucial for preventing military and surveillance advancements, tech leaders argue that the rules risk undercutting U.S. economic and technological clout. Su’s remarks come on the heels of similar concerns raised by industry rivals, and underscore a broader industry plea for clearer guidelines and targeted enforcement. With over a billion dollars in potential losses looming, AMD is advocating for a smarter, more surgical regulatory framework that supports both national priorities and corporate viability.