Advanced Micro Devices Inc. tumbled in late trading after giving a disappointing outlook for its data center business, an area where it’s struggling to catch up with AI computing leader Nvidia Corp.
The division will grow by a percentage in the “strong” double digits this year, AMD said on a conference call with analysts, predicting that the second half would be better than the first. But in an industry that’s seen Nvidia’s sales double during each of the past two years, that wasn’t enough to impress investors.