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Tributary Capital Management added AMD to its second-quarter 2026 portfolio and described the chipmaker as a possible second option to Nvidia in GPUs, according to an investor letter reported by Yahoo Finance.

Why it matters

The letter says customer sampling of AMD’s new products is under way, with a ramp planned for the second half of 2026 and into 2027. It also argues that demand for AI inference and agentic AI could strengthen AMD’s CPU business. That is an investor’s thesis, not evidence of confirmed orders or market-share gains. Still, it offers a useful snapshot of what some fund managers are betting on: AMD’s AI case may depend as much on becoming a credible Nvidia alternative as on selling more processors. Is “second option” enough to build a durable AI-chip business, or does AMD need clear wins against Nvidia first?

Discuss: Is becoming a credible second option to Nvidia enough for AMD to build a durable AI-chip business, or does it need clear market-share wins first?

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