AMD · 10-K · 2025A · Full report

Supplier purchase commitments

ADVANCED MICRO DEVICES INC · 2026-02-04 · Importance 64 · Surprise 42

As of December 27, 2025, AMD had approximately $12.2 billion of unconditional commitments, with $8.5 billion falling in fiscal year 2026, primarily tied to purchases of wafers and substrates and multi-year cloud service provider arrangements. These contractual obligations indicate substantial forward procurement of semiconductor manufacturing inputs and imply locked-in supplier capacity and cash outflows in the near term. Commitments also cover software and technology licenses and lease obligations, reflecting multi-year operational contracts tied to product ramps. Management states it actively works with suppliers on timing of payments and deliveries to align with business conditions.

Key facts

• AMD stated that its contractual obligations and purchase commitments relate primarily to obligations to purchase wafers and substrates, multi-year cloud service provider arrangements, and certain software and technology licenses.