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During its Q2 earnings call, AMD reported a significant 71.4% increase in the Client and Gaming segment revenues. This includes strong sales of Ryzen CPUs and Radeon GPUs, as well as custom SoCs for gaming consoles and handhelds.
In a recent announcement, AMD reaffirmed its multi-year collaboration with Microsoft to design custom chips. Notably, this particular SoC will power not only the next-generation Xbox console but also PCs and handheld devices.
AMD is developing similar custom SoCs for both Sony’s upcoming PlayStation and Microsoft’s Xbox. The company’s FSR 4 technology, co-developed with Sony, further underscores its involvement in these projects.
The main question now is whether AMD will bring a console-like custom chip to the PC market. With a strong suite of SoCs in its portfolio, including the Ryzen Z2 series powering the ROG Xbox Ally gaming handheld and the familiarity between Xbox consoles and PC architecture, it seems likely that Microsoft aims to offer the same silicon across multiple platforms.
This development could provide users with a one-stop solution for their gaming needs. However, the downside is that these custom chips are likely soldered to the motherboard, eliminating any upgrade path like DIY setups, which would be more common on desktops than laptops or pre-built systems.
As consoles and PCs increasingly share architectural similarities, it’s clear that PC gamers will benefit from some of the console-exclusive optimizations and experiences. With Microsoft redefining its Windows OS across all platforms, PC gamers can look forward to enhanced gaming capabilities in the near future.
📚 Reading Comprehension Quiz
What significant increase did AMD report in its Q2 earnings call for the Client and Gaming segment revenues?
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