• Computing and Graphics segment revenue was $958 million, up 60 percent year-over-year and 17 percent sequentially. The year-over-year and sequential increases were primarily driven by strong sales of Radeon graphics and Ryzen desktop processors.
  ◦         Operating income was $85 million, compared to an operating loss of $21 million in Q4 2016 and operating income of $70 million in Q3 2017. The year-over-year and sequential improvements were primarily driven by higher revenue.
  ◦         Client average selling price (ASP) was up year-over-year driven by higher Ryzen desktop processors ASP. Client ASP was flat sequentially.
  ◦         GPU ASP increased year-over-year and sequentially due to higher desktop and professional graphics ASP.
• Enterprise, Embedded and Semi-Custom segment revenue was $522 million, up 3 percent year-over-year driven by server revenue. Sequentially, revenue decreased 37 percent driven by seasonally lower semi-custom SoC revenue.
  ◦         Operating income was $19 million compared to $47 million in Q4 2016 and $84 million in Q3 2017. The year-over-year decrease was primarily due to the absence of a $31 million licensing gain in Q4 2016 and an increase in R&D expenses, partially offset by the benefit from a richer product mix. The sequential decrease was primarily due to seasonally lower semi-custom SoC revenue.
• All Other operating loss was $22 million compared with operating losses of $29 million in Q4 2016 and $28 million in Q3 2017. The year-over-year and sequential improvement was primarily related to lower stock-based compensation charges in Q4 2017.

Recent Corporate Highlights

• AMD expanded its presence in the datacenter with new AMD EPYC™ processor-powered solutions and deployments:
  ◦         Microsoft Azure became the first global cloud provider to deploy AMD EPYC processors in its datacenters for its latest L-Series of Virtual Machines.
  ◦         Baidu deployed AMD EPYC single-socket platforms to power its AI, big data, and cloud computing datacenters.
  ◦         New high-performance platforms powered by AMD EPYC CPUs are now available from ecosystem partners including ASUS, GIGABYTE Technology, and Supermicro.
  ◦         The AMD EPYC processor-powered HPE ProLiant DL385 Gen10 server started shipping in volume in December 2017, which launched with record-setting SPEC CPU® performance and features leadership cost per virtual machine configurations.
  ◦         EPYC CPUs were recognized as the Linley Group Analysts’ Choice Awards “Best Server Processor” and in the “Top 5 Products or Technologies to Watch” category of both the HPCWire Readers’ Choice and Editors’ Choice Awards.
• AMD continued its commitment to bring innovation and competition to every segment of the PC market with the launch of its Ryzen Mobile Processors with Radeon Vega graphics, including the AMD Ryzen™ 7 2700U processor - the world’s fastest processor for ultrathin notebooks.
  ◦         Combining the power of the “Zen” CPU and “Vega” GPU architectures, Ryzen mobile processors deliver up to 3x the CPU performance, up to 2.3x the GPU performance, and up to 58 percent less power consumption compared to the previous generation AMD notebook processors.
  ◦         Ryzen mobile-based notebooks are currently available from Acer, HP, and Lenovo, with more systems expected from Dell and other OEMs in Q1 2018.
  ◦         AMD and Qualcomm announced a collaboration to bring smooth and fast PC connectivity based on Qualcomm® Snapdragon™ LTE modem solutions to high-performance AMD Ryzen mobile processors designed for consumer and enterprise notebooks.
• At CES 2018, AMD announced details for upcoming computing and graphics products including its first 7nm product, a Radeon “Vega” GPU specifically built for machine learning applications, as well as next-generation Ryzen CPUs and desktop Ryzen APUs.
• Momentum around AMD’s next-generation “Vega” graphics portfolio continues to build:
  ◦         Apple launched its most powerful Mac ever, the iMac Pro featuring AMD Radeon Pro Vega graphics.
  ◦         AMD designed a semi-custom GPU that will be integrated into the 8^th Gen Intel® Core™ processor with Radeon RX Vega M Graphics.
  ◦         AMD announced the expansion of the “Vega” family with the Radeon Vega Mobile GPU for ultrathin notebooks.
• AMD released a major update to its advanced GPU software suite for Radeon graphics, the Radeon Software Adrenalin Edition.
• AMD announced the appointment of Mark Durcan to its board of directors.
• AMD expanded its leadership team with the appointment of graphics industry leaders Mike Rayfield as senior vice president and general manager of AMD Radeon Technologies Group (RTG) and David Wang as senior vice president of engineering for RTG. Rayfield will be responsible for all aspects of strategy and business management for AMD’s consumer graphics, professional graphics, and semi-custom products. Wang will be responsible for all aspects of graphics engineering, including the technical strategy, architecture, hardware, and software for AMD graphics products and technologies.

Current Outlook
AMD’s outlook statements are based on current expectations. The following statements are forward-looking, and actual results could differ materially depending on market conditions and the factors set forth under “Cautionary Statement” below.

For Q1 2018, AMD expects revenue to be approximately $1.55 billion, plus or minus $50 million, an increase of 32 percent year-over-year, primarily driven by the strength of the ramp of new Ryzen, GPU and EPYC products.

Guidance for Q1 2018 and the year-over-year comparison are under the new revenue recognition accounting standard (ASC 606). AMD is adopting the new revenue recognition standard by applying the “full retrospective” method. For comparative purposes under the new standard, Q1 2017 restated revenue was $1.18 billion and Q4 2017 restated revenue was $1.34 billion.

For fiscal 2018, AMD expects the impact of the new standard on revenue to be immaterial.

For additional details regarding AMD’s results and outlook please see the CFO commentary posted on the Investor Relations page at www.amd.com.

AMD Teleconference
AMD will hold a conference call for the financial community at 2:00 p.m. PT (5:00 p.m. ET) today to discuss its fourth quarter and fiscal year 2017 financial results. AMD will provide a real-time audio broadcast of the teleconference on the Investor Relations page of its website at www.amd.com. The webcast will be available for 12 months after the conference call.