Advanced Micro Devices said it plans to issue up to $5 billion of senior unsecured notes, in what would be the chipmaker’s largest U.S. dollar bond sale to date. The company said the financing would give it added flexibility to expand AI-related investment and address debt coming due.
Four-part offering tied to investor demand
AMD said the notes will be sold in four tranches with maturities ranging from three to 10 years. Final deal size will depend on market demand from investors.
The company said proceeds will be used for general corporate purposes, including debt repayment. AMD has $875 million of bonds maturing next month.
As of June 27, 2026, AMD held about $5.09 billion in cash and cash equivalents, along with $8.03 billion in short-term investments, according to the report.
Major banks are underwriting the deal
The bond sale is being jointly underwritten by Barclays, BofA Securities, Citigroup, J.P. Morgan, Morgan Stanley, and Wells Fargo.
Proceeds are linked to AMD’s AI expansion
ABMedia reported that the money raised will be used to expand the application range of AMD’s AI chips. AMD has recently worked with Anthropic and Microsoft, and it has committed up to $5 billion to Anthropic to support and optimize the performance of Claude models on AMD hardware.
Server CPU target set for 2030
AMD is aiming to capture more than 50% of the server central processing unit market by 2030, a segment it said could reach $220 billion.
To compete more directly with Nvidia and other rivals, the company plans to speed up deployment of Helios AI racks, deepen its Venice server CPU lineup, and keep upgrading the ROCm software platform to narrow the gap with CUDA.
As competition between x86 and Arm architectures continues, AMD said it sees workload-specific performance, high-grade security, and chiplet architecture as key defenses.
Supply chain capacity remains a constraint
AMD said strong market demand is running into supply chain limits. To secure stable access to advanced manufacturing capacity, the company said it is working closely with TSMC and other supply chain partners to obtain additional capacity allocations.