Advanced Micro Devices (AMD) has set an ambitious target for its data center chip business, forecasting that the market could hit $1 trillion by 2030, driven largely by artificial intelligence.

Chief Executive Officer Lisa Su made the projection during the company’s analyst day in New York, highlighting AI as the most transformative force shaping the industry’s future.

“It’s an exciting market,” Su told investors. “There’s no question, data center is the largest growth opportunity out there, and one that AMD is very, very well positioned for.”

The trillion-dollar market projection includes AMD’s central processing units (CPUs), networking chips, and specialized AI accelerators—areas where the company has been aggressively investing to compete with rivals Nvidia and Intel. While AMD has carved out a strong position in the CPU market, Nvidia continues to dominate AI data center chips with its powerful GPUs, including the widely used H100.

AMD is now betting that its next-generation AI hardware and acquisitions will help close that gap. Its upcoming MI400 series—set for release in 2026—will feature chips optimized for generative AI and scientific applications. The company is also developing a full server rack system to rival Nvidia’s GB200 NVL72, signaling its intention to compete across the full AI infrastructure stack.

Chief Financial Officer Jean Hu told investors that AMD expects its overall business to grow by 35% annually and its data center segment by 60% over the next three to five years. The company also projects earnings to rise to $20 per share in that timeframe. Following the announcement, AMD’s stock gained nearly 4% in after-hours trading, after closing down 2.7% at $237.52.

The optimism comes amid a broader race to capture the AI hardware market, which Nvidia CEO Jensen Huang recently valued at between $3 trillion and $4 trillion by the end of the decade. AMD’s projection, while more conservative, underscores the enormous expectations around the long-term AI buildout—from cloud computing and hyperscale data centers to edge and enterprise deployments.

AMD’s expansion strategy includes a string of acquisitions aimed at strengthening its AI and data center ecosystem. Over the past year, it has acquired companies such as ZT Systems, a server manufacturer, and several software startups focused on AI applications. On Monday, it announced the acquisition of MK1, a move intended to bolster its AI software expertise.

“We’ll continue to do AI software tuck-ins,” Chief Strategy Officer Mat Hein told Reuters, adding that the acquisitions are as much about acquiring talent as technology.

The company’s recent partnership with OpenAI marks one of its most significant strategic wins yet. Under a multiyear deal signed in October, AMD will supply chips for OpenAI’s infrastructure, a contract estimated to generate more than $100 billion in revenue over four years from OpenAI and other related customers. In return, OpenAI will receive warrants allowing it to purchase up to a 10% stake in AMD—a rare equity-linked arrangement that reflects the growing interdependence between AI developers and chip suppliers.

The partnership also gives AMD a direct foothold in the high-performance AI computing market, an area in which it has lagged compared to Nvidia. Analysts view the deal as a critical inflection point for AMD, which until recently had been overshadowed by Nvidia’s dominance in AI accelerators.

AMD’s last analyst day was in 2022, before the generative AI wave reshaped global chip demand. Since then, the Santa Clara-based company has sought to pivot from being primarily a CPU manufacturer into a diversified AI computing powerhouse. The timing appears favorable: data center operators and cloud firms worldwide are racing to expand infrastructure for AI workloads, a trend that could keep demand elevated for years.

Still, the competitive landscape remains unforgiving. Nvidia continues to capture the lion’s share of AI spending, while Intel is repositioning itself through its Gaudi AI chips and new manufacturing strategy. Yet AMD’s combination of a diversified chip portfolio, strategic acquisitions, and a landmark partnership with OpenAI could help it capture a meaningful share of the projected trillion-dollar market.

Now, AMD’s future is believed to rest on how effectively it can merge its hardware strength with AI-specific software and systems integration—turning its growing presence in CPUs into a full-fledged player across the AI computing spectrum.

The United States and Switzerland are close to finalizing a trade agreement that would reduce the 39% tariffs President Donald Trump imposed on Swiss goods in August, in what could mark one of Washington’s most significant bilateral trade revisions this year.

Speaking from the Oval Office on Monday, President Trump confirmed ongoing negotiations, saying White House officials were “working on a deal to get the tariffs a little lower.”

“I haven’t set any number, but we’re going to be working on something to help Switzerland,” Trump said. “We hit Switzerland very hard. But we want Switzerland to remain successful,” he added, describing the Alpine nation as “a very good ally.”

According to reports from Bloomberg and other outlets citing sources familiar with the talks, the tariff rate could be cut to 15%, aligning with the level applied to European Union exports to the U.S. The deal, sources said, could be concluded within weeks if both sides finalize terms on a narrow set of industrial and luxury goods.

Swiss reaction and economic implications

In Bern, officials welcomed the prospect of a tariff reduction but declined to comment on specifics. “We are not commenting on the ongoing discussions,” a spokesperson for Switzerland’s Economy Ministry told CNBC. The spokesperson confirmed that Economy Minister Guy Parmelin “is in regular contact with the relevant authorities in the U.S., including USTR Jamieson Greer.”

The tariff, introduced by Trump in what he described as a move to address trade imbalances, has been deeply unpopular in Switzerland, where export-dependent sectors form the backbone of the economy. The 39% duty hit key industries including watches, jewelry, precision machinery, chocolate, electronics, and pharmaceuticals — many of which rely heavily on the U.S. market.

On Tuesday, shares of major Swiss firms Swatch Group and Richemont — two of the world’s largest luxury watchmakers — rose in early trading, buoyed by expectations of a partial rollback.

Industry executives have been vocal about the tariffs’ toll. The CEO of Breitling, one of Switzerland’s leading watch brands, told CNBC earlier this year that the duty was “horrible” for the sector and risked making high-end Swiss goods less competitive globally.

The Swiss tariffs were among the steepest levied under Trump’s sweeping tariff agenda this year, which has targeted multiple countries as part of his broader campaign to reduce U.S. trade deficits.

The Office of the U.S. Trade Representative (USTR) reported a $38.5 billion goods trade deficit with Switzerland last year. However, Swiss authorities pushed back on the notion of imbalance, arguing that the overall trade relationship is relatively even when services are included.

“The U.S. has a surplus of services exports and Switzerland does for goods exports,” the Swiss government said in August. It added that Switzerland’s trade surplus “is not rooted in unfair trade practices” and that over 99% of U.S. goods are imported into the country without tariffs.

Switzerland, though small, is a major investor in the U.S., particularly in pharmaceuticals and finance. American companies such as Johnson & Johnson, Microsoft, and Google also maintain large operations in Switzerland due to its favorable tax and regulatory environment.

A pragmatic recalibration

Analysts see the potential tariff cut as part of Trump’s ongoing recalibration of his “America First” trade policy. After years of using tariffs as leverage in trade disputes, the administration has shown a willingness to renegotiate when domestic industry or allied relations are at stake.

The new trade terms, if finalized, are expected to stabilize transatlantic relations that have been strained by recent tariff actions, while easing pressure on Swiss manufacturers facing declining margins and disrupted supply chains.

For Trump, the timing may also be politically significant. A new trade deal that boosts American access to European markets without compromising his hardline image on trade could be presented as both a policy win and a gesture of goodwill toward a long-standing ally.

While negotiations are still underway, voices in Washington suggest an announcement could come before the end of the month.

Meta’s Chief Artificial Intelligence Scientist, Yann LeCun, is planning to leave the social media giant to start his own company, according to the Financial Times, which cited people familiar with the matter.

The deep-learning pioneer is reportedly in early talks to raise funds for his new venture, marking the likely end of a decade-long tenure at the heart of Meta’s AI evolution.

LeCun’s departure comes at a pivotal time for Meta Platforms, the parent company of Facebook and Instagram, which has dramatically intensified its investments in artificial intelligence. CEO Mark Zuckerberg recently restructured the company’s AI operations under a new division known as Superintelligence Labs. This move underscores Meta’s growing ambitions to rival OpenAI, Google DeepMind, and Anthropic in the race toward artificial general intelligence (AGI).

As part of this overhaul, Zuckerberg recruited Alexandr Wang, the former CEO of data-labeling startup Scale AI, to lead the new AI initiative. The shake-up shifted reporting lines within Meta’s AI leadership, with LeCun — who previously reported to Chief Product Officer Chris Cox — now reporting directly to Wang. The change reportedly signaled a major organizational realignment, aimed at accelerating Meta’s efforts to integrate AI across its platforms and hardware ecosystem.

Zuckerberg has spent resources building Meta’s artificial intelligence empire, pouring billions of dollars into AI infrastructure and research. The company pledged to invest $600 billion in the U.S. over the next three years to support data centers and computing systems capable of running large-scale AI models. That spending spree has been matched with aggressive recruitment of top AI talent globally — a strategy that helped establish Meta’s Facebook Artificial Intelligence Research (FAIR) unit, which LeCun founded in 2013.

LeCun, who also serves as a Silver Professor at New York University, is renowned for pioneering deep learning and inventing the convolutional neural network (CNN) — technology that underpins much of today’s image, video, and speech recognition systems. Alongside Geoffrey Hinton and Yoshua Bengio, he received the 2018 ACM A.M. Turing Award, often described as the “Nobel Prize of Computing,” for his contributions to the field.

His exit, however, is expected to leave a recruitment gap within Meta’s AI leadership, as the company continues to compete for scarce global expertise in machine learning and neural systems. Some suggest that replacing a figure of LeCun’s stature will not be easy, particularly as Meta faces increasing pressure to close the technological gap with OpenAI’s GPT models and Google’s Gemini systems.

LeCun has long been known for his skepticism toward large language models as the ultimate path to superintelligence, often arguing for more biologically inspired and energy-efficient approaches. His departure could therefore mark a philosophical turning point for Meta’s AI strategy — away from his theoretical orientation and further toward applied generative systems favored by Zuckerberg’s new AI leadership team.

LeCun’s planned startup reportedly aims to explore “alternative foundations” for building general intelligence, though no specific details have yet been made public. If realized, the move could signal a new wave of independent AI ventures led by the original pioneers of deep learning — a trend already evident in Geoffrey Hinton’s exit from Google last year.

As Meta ramps up spending and research to dominate the next era of computing, the loss of LeCun’s vision may reshape the company’s AI culture.