AMD CEO Lisa Su doesn't think blockchain technology is going away any time soon.
Advanced Micro Devices, Inc.'s ( AMD ) Su talked about the company's outlook on blockchain technology during the 2018 JP Morgan Technology, Media and Telecom Conference on May 15. Sales from blockchain accounted for about 10% of the chipmaker's revenue last quarter, the company said during its earnings call in April.
Su said that the company is seeing demand for graphics processing units (GPUs) for cryptocurrency mining die down slightly as the year continues, but said that the decrease is healthy. Prices for Bitcoin have fallen almost 40% since the beginning of the year, and other cryptocurrencies have experienced a similar plunge.
"We do see a bit of moderation [in crypto demand]," Su said.
AMD rival Nvidia ( NVDA ) said in its earnings call last week that it expects cryptocurrency mining-related demand for its GPUs to drop by about two-thirds in the second quarter.
Su added on Tuesday that AMD would look to work with companies trying to use cryptocurrencies and blockchain, the distributed ledger technology that underlies cryptocurrencies and has many important potential applications in financial services, healthcare and data security.
"We should partner with them," Su said of companies in these sectors. "They need computing infrastructure." Su previously said that "the blockchain infrastructure is here to stay" during AMD's earnings call in April.
AMD shares were up 1.8% on Tuesday. Since the beginning of the year, the stock has increased 20.3%.
Nvidia is a holding in Jim Cramer's Action Alerts PLUS Charitable Trust Portfolio. Want to be alerted before Cramer buys or sells NVDA ? Learn more now ....