Advanced Micro Devices Inc. (AMD) reported strong first-quarter results with a net income of $709 million, surpassing expectations, driven by robust growth in its data center segment and increased AI demand. Despite this positive performance, AMD faces challenges from new U.S. export restrictions on chip sales to China. The company forecasts a revenue impact of approximately $1.5 billion for the full year 2025 due to these curbs, with an estimated $700 million hit expected in the second quarter alone. AMD's CEO acknowledged uncertainties related to tariffs but remains optimistic about continued investment in AI infrastructure, projecting strong growth in the second half of 2025. The company’s CFO also confirmed the revenue reductions tied to export license requirements. Market analysts have noted that while AMD's AI growth story is still developing, its 2025 outlook remains positive despite the headwinds from U.S.-China trade restrictions. Comparisons were made to Nvidia Corp. (NVDA), which is expected to see amplified AI revenue growth given its higher exposure to the AI market.