AMD's CEO said Wednesday that the company does not consider cryptocurrency a long-term growth driver, despite rising demand, according to Business Insider. The company will continue to focus on gaming, its bread and butter.
Lisa Su, CEO of AMD, made the remarks following the release of the company's earnings report. AMD reported higher than expected earnings and revenue, pushing the company's stock up 8%.
Su said the company would "continue to watch the developments around the blockchain technologies as they go forward," but will not include cryptocurrency in their forecast.
Companies like IBM and Microsoft have made big leaps into the cryptocurrency space, so it's surprising to see AMD backing off a bit.
Demand for chips that can be used to help with complex blockchain computing processes are on the rise, so the company could be bypassing a lucrative opportunity. The company's biggest challenger, Nvidia, is building a chip for computers that can be used in cryptocurrency networks.
AMD's cautious approach is fueled in part by some of the negative connections to blockchain technology. AMD may simply be trying to distance itself from any negative connotations until the dust settles.