Track market-moving stories before they get noisy

MAPLETON, Utah, July 23, 2026 (GLOBE NEWSWIRE) -- Toll Brothers, Inc. (NYSE:TOL), the nation’s leading builder of luxury homes, today announced the opening of its newest community, Toll Brothers at Mapleton, in Mapleton, Utah. The community’s award-winning Kamas Farmhouse model home, recently featured in the 2026 Utah Valley Parade of Homes and honored with the prestigious Judge’s Choice award, is now open to the public, showcasing the elegance and craftsmanship for which Toll Brothers is known.

The Heights Collection at Toll Brothers at Mapleton is now open for sale, offering single-family homes with luxury designs ranging from approximately 4,000 to 5,200 square feet. These expertly crafted homes include 3 to 9 bedrooms, 2 to 7.5 bathrooms, and well-equipped kitchens. Select home designs offer optional walk-out basements and accessory dwelling unit (ADU) options, providing a separate private residence ideal for multigenerational living or rental income. Homes are priced from the upper $700,000s. The Crest Collection at Toll Brothers at Mapleton is anticipated to open for sale in fall 2026, with single-family homes from the low $900,000s.

Located in the heart of Mapleton, this community provides convenient access to outdoor recreation opportunities, Brigham Young University, and the city of Provo approximately 20 minutes away. Located within the desirable Nebo School District, Toll Brothers at Mapleton is surrounded by breathtaking views and a charming small-town atmosphere.

Toll Brothers customers will experience one-stop shopping at the Toll Brothers Design Studio. The state-of-the-art Design Studio allows home shoppers to choose from a wide array of selections to personalize their dream home with the assistance of Toll Brothers professional Design Consultants.

"The Kamas Farmhouse model home represents the pinnacle of Toll Brothers luxury and design," said Josh Clark, Division President of Toll Brothers in Utah. "We are thrilled to offer home shoppers the opportunity to tour this award-winning model home and discover the exceptional quality and personalization options available at Toll Brothers at Mapleton."

The Sales Center for Toll Brothers at Mapleton is located at 786 W Sugar Maple Drive in Mapleton. For more information on Toll Brothers at Mapleton, or to schedule a tour, call 800-289-8655 or visit TollBrothers.com/UT.

About Toll Brothers

Toll Brothers, Inc., a Fortune 500 Company, is the nation’s leading builder of luxury homes. The Company was founded in 1967 and became a public company in 1986 with common stock listed on the New York Stock Exchange under the symbol “TOL.” Toll Brothers builds new homes and communities in over 60 markets across the United States, serving first-time, move-up, active-adult, and second-home buyers. The Company also operates its own architectural, engineering, mortgage, title, land development, smart home technology, landscape, and building components manufacturing businesses.

Toll Brothers was named the #1 Most Admired Home Builder in Fortune magazine’s 2026 list of the World’s Most Admired Companies®, the ninth year the Company has achieved this honor. Toll Brothers has also been named Builder of the Year by Builder magazine and is the first two-time recipient of Builder of the Year from Professional Builder magazine. For more information visit TollBrothers.com.

From Fortune, ©2026 Fortune Media IP Limited. All rights reserved. Used under license.

Contact: Andrea Meck | Toll Brothers, Senior Director, Public Relations & Social Media | 215-938-8169 | [email protected]

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/2638e3d6-3241-4b0a-b620-777c111f614f

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/736eb730-f080-428d-9b2e-877745aa18a8

Sent by Toll Brothers via Regional Globe Newswire (TOLL-REG)

After 15 years running Apple (AAPL -1.55%), Tim Cook will hand the CEO role to hardware chief John Ternus on Sept. 1, with Cook staying on as executive chairman. Ternus is a 25-year Apple veteran who helped launch the iPad and AirPods, so this is a carefully planned insider handoff, not a shake-up.

Here are three things Apple investors can reasonably expect from the leadership change.

Image source: Getty Images.

1. Continuity, not a revolution Apple did not hire an outsider with a mandate to tear things up. Ternus has spent his entire career inside Apple, and Cook will remain as executive chairman to smooth the transition. Expect the strategy, the disciplined supply chain, and the capital-return program to carry on largely unchanged in the near term.

Cook is an operations master; Ternus is an engineer who ran hardware for the iPhone, iPad, Mac, and Watch. That suggests a CEO with a sharper instinct for the products themselves, which could mean more aggressive bets on new hardware like foldable devices, smart glasses, and AI-infused gadgets.

2. Pressure to fix Apple's AI story This is the big one. Apple has been widely seen as lagging in artificial intelligence (AI), with Siri and Apple Intelligence both underwhelming users and investors. Ternus inherits the job of making Apple a credible AI player, likely by leaning on its strength in on-device AI and custom silicon. How he handles this will define his tenure.

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3. Steady shareholder returns Don't expect the cash machine to slow down. Apple's massive buybacks and growing dividend should continue, and the real profit engine, its high-margin services business, keeps expanding. In the near term, watch iPhone gross margins, which some view as a key signal of financial health.

Ternus takes over with the stock near all-time highs, but that cuts both ways. Expectations are elevated, so every early decision and product launch will face intense scrutiny, and the share price could be volatile as investors judge whether he can innovate or merely maintain. New CEOs are rarely given much patience.

The takeaway for investors The handoff from Cook to Ternus looks about as smooth as a leadership change at a multitrillion-dollar company can be, which should reassure long-term shareholders. The real questions are about the future, not the transition: Can Ternus close Apple's AI gap and reignite hardware innovation, while protecting the margins and cash returns that investors prize?

I would treat September as the start of a show-me period rather than a reason to buy or sell, and judge the new CEO by his products, not his first press release.

Meta CEO Mark Zuckerberg is pushing back against AI doomerism, sharing an assertively optimistic outlook on the future of the tech and arguing his company’s new tools will only aid its goal of connecting the world.

A Facebook video posted from his account takes aim at narratives that portray artificial intelligence as a danger to society, showing clips of fear-mongering headlines on a laptop – and then cutting to images of a child playing with a butterfly and friends sitting by a waterfall.

“Some people will have you believe AI will make us less connected. That it’s gonna leave us behind. We couldn’t disagree more,” a narrator says. “Call us optimists. Call us dreamers. Just as we’ve always done, we’re betting on people.”

Meta CEO Mark Zuckerberg on Thursday shared an emphatically optimistic outlook on the future of AI. Bloomberg via Getty Images “We bet on people when we connected you to the ones you lost touch with and again when we connected you to the ones you couldn’t be near,” the message continues. “Twenty-two years and 3.5 billion people later, we’re doubling down, because while technology will change, our intention behind it never will.”

The ad also promises to stay true to Meta’s mission of providing free, accessible access to social media – a notable pledge as major tech companies, including Meta, have tested potential subscription plans for AI chatbot users.

“Meta has always believed in giving people the power to share, connect, and shape your world in the ways you want,” Zuckerberg wrote in a caption for the video. 

“As we enter this next wave with AI, we continue to believe the future is for everyone. We’re focused on giving every person the tools to reach your full potential and making sure the benefits of technology are distributed to everyone.”

A Meta spokesperson confirmed the new video is just the first release as part of a broader campaign over the coming months to articulate Meta’s optimistic AI vision.

It’s a stark contrast to other industry bigwigs who have been sounding the alarm over potential threats, warning ultra-powerful chatbots could create an “AI doomsday” situation.

On Tuesday, OpenAI revealed that an experimental model it built went rogue during an internal cybersecurity test – hacking rival AI developer Hugging Face in an “unprecedented cyber incident.”

Meta pledged to stick to its mission of providing free, accessible access to social media. REUTERS During the stress test, researchers switched off many of the safeguards that typically prevent its AI from carrying out dangerous hacks, but the bot became “hyperfocused” on completing its assignment and went “to extreme lengths” to do so, the company said.

OpenAI said it has since tightened up its security measures for future testing, but AI safety advocates said the shocking hack should serve as a wake-up call for companies rushing to get the most powerful models to market the quickest.

Anthropic’s advanced Mythos chatbot also sparked fears in June after it reportedly sniffed out vulnerabilities in highly secure US government systems within just a few hours, though that does not necessarily mean the bot would be able to exploit those sensitives within that timeframe.

Some critics have dismissed the grim statements as marketing.

Others have railed against AI over concerns it could cause mass layoffs and displace droves of American workers, especially entry-level employees.

So far this year through June, nearly a third of all job cuts have hit the tech sector – and AI came in as the leading reason for layoffs in June for the fourth month in a row, according to the most recent report from Challenger, Gray & Christmas.

Since 2023, when AI first emerged as a driving force in layoffs, the new tech has been cited in 173,568 job cut announcements, according to Challenger.

Proponents of AI have said the new tech could temporarily lead to job displacement, but that it will also create new jobs in the long-term.

Tesla (TSLA) and Alphabet GOOGL shares led a broad market selloff on Thursday after investors reacted to higher artificial intelligence spending, sending the Nasdaq Composite down about 2.5% and the S&P 500 lower about 1.5%, while rising Middle East tensions pushed Brent crude close to $100 a barrel.

Tesla fell about 12% after reporting quarterly earnings that missed profit expectations despite stronger revenue, while Alphabet dropped roughly 7% after lifting its 2026 capital expenditure outlook to as much as $205 billion. The decline weighed on major indexes, with other large-cap technology stocks also trading lower.

Alphabet said it plans to increase spending on AI infrastructure as demand for computing capacity continues to grow. Separately, the company also faced a roughly $1 billion European Union fine tied to its search business, adding to investor concerns.

Oil prices extended recent gains after reports that Iran-backed Houthi forces attacked two Saudi oil tankers. Brent crude climbed more than 6% to nearly $100 per barrel, while U.S. benchmark West Texas Intermediate rose about 5%.

Higher energy prices also lifted Treasury yields as investors reassessed inflation and interest-rate expectations. The yield on the benchmark 10-year Treasury note rose to its highest level since January 2025, while traders increased expectations for potential Federal Reserve rate hikes over the coming months.

The silhouette of Elon Musk and Tesla logo are seen in this illustration taken June 11, 2026. REUTERS/Dado Ruvic/Illustration/File Photo Purchase Licensing Rights, opens new tab

SummaryCompaniesFrance cited safety concerns over Tesla FSD in its current formThe Netherlands provisionally approved FSD on Dutch roadsBelgium, Denmark, Estonia and Lithuania followed suit ahead ​of a possible EU vote this fallAMSTERDAM, July 23 (Reuters) - France opposes the use of Tesla's (TSLA.O), opens new tab Full Self-Driving (FSD) driver assistance software in its current form ​on roads in the European Union due to safety concerns, its transportation ​minister said.

The French stance on the FSD software is the ⁠first public rejection by an EU government of a Dutch-led initiative to approve ​the technology for use throughout Europe.

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In a video statement released on Wednesday, Philippe ​Tabarot pointed to worries over speeding and driver inattention.

"In France, we believe that, while this system brings a number of technological advances, the safety tradeoffs are not yet sufficient to ​justify authorisation in its current form," he said.

Tabarot added that other European ​countries shared France's concerns regarding the software, though he did not name them.

Reuters reported in June ‌that Sweden ⁠may also oppose approval.

Tesla's FSD is a driver assistance system that can accelerate, brake, and steer a car, while its human driver remains ready to intervene.

The Netherlands' road authority RDW approved the technology for use on Dutch roads on ​a provisional basis in ​April, prompting Belgium, ⁠Denmark, Estonia and Lithuania to do the same in advance of a possible bloc-wide vote on the plan this ​fall.

The RDW could not immediately be reached for comment on ​Thursday.

FSD software ⁠is seen as a selling point and revenue-generator for Tesla, whose European registrations are gradually recovering following a slump last year.

Responding to Tabarot's remarks in a statement on ⁠X, ​Tesla CEO Elon Musk wrote that "delaying the approval ​of FSD in France will cost lives".

Tabarot said France is continuing technical discussions with the Netherlands and ​other EU countries over the technology.

Reporting by Toby Sterling; Editing by Joe Bavier

Our Standards: The Thomson Reuters Trust Principles., opens new tab

Shares in the YieldMax TSLA Option Income Strategy ETF (TSLY -13.43%) declined by 14.2% at 11:30 am today. The decline correlated with the fall in Tesla (TSLA -13.97%) shares following the release of its second-quarter earnings report. Here's the lowdown.

Why YieldMax Tesla Option Income Strategy ETF declined As the name suggests, the ETF uses option strategies to deliver returns to investors based on the performance of Tesla's stock. It gains long exposure to the stock by buying call options and selling put options – both positions reward bullishness. At the same time, the ETF's managers also sell call options, which "generally have a strike price that is approximately 0%-15% above the then-current share price of the Underlying Security." This is a bearish strategy that rewards the ETF as long as the price of the stock doesn't rise significantly.

NYSEMKT: TSLYTidal Trust II - YieldMax Tsla Option Income Strategy ETF

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The combination of strategies gives the ETF significant income generation in long periods of relatively low volatility for Tesla stock, particularly when Tesla stock is gently rising, but can underperform Tesla stock in sharply rising periods due to selling call options.

It does not do well when the stock falls sharply, and that's what happened today.

It would be remiss to discuss the ETF without mentioning why Tesla stock fell today. Simply put, Tesla's gross and profit margins came in lower than expected due to rising costs (both for goods sold and operating expenses). More importantly, CEO Elon Musk's commentary on the robotaxi rollout made it abundantly clear that it will be a measured, safety-first rollout that is unlikely to scale massively until the latest version of full self-driving (FSD) software, v15, is validated and released.

Image source: The Motley Fool.

That dose of reality is likely causing previously overly optimistic investors to sell the stock. That's the bad news, but the good news is it might reset expectations for the rollout and ultimately allow long-term bulls to buy stock cheaper.

Lee Samaha has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Tesla. The Motley Fool has a disclosure policy.

ToplineElon Musk’s fortune was cut by more than $18 billion on Thursday amid the worst intraday selloff in Tesla shares in more than a year, following the automaker’s earnings report that disappointed Wall Street, as analysts called for Musk’s firm to bring “tangible” results for its robotics and robotaxi businesses.

The automaker reported earnings that disappointed Wall Street, with plans to spend billions more on AI.

Getty Images

Key FactsShares of Tesla plunged 14.1% as of Thursday afternoon, pacing what would be the largest single-day decline for the stock since June 5, 2025 (14.2%).

That drop in Tesla’s share price lowered Musk’s net worth by $18.6 billion to $731.7 billion, even as he remains the world’s richest person ahead of Google co-founder Larry Page ($263.8 billion) and Amazon’s Jeff Bezos ($245.4 billion).

Tesla's slump follows the company’s quarterly earnings report on Wednesday, in which the automaker reported $28.2 billion in revenue, beating consensus analyst estimates of $27.2 billion, according to FactSet, while posting earnings that fell well below projections of 55 cents at 33 cents.

Chief financial officer Vaibhav Taneja, during Tesla’s earnings call, reiterated plans for the automaker to spend $25 billion this year and more in the coming years.

That brought some criticism from Wall Street: Morgan Stanley analysts said in a note that while Tesla’s spending is a “necessary investment,” the company will need to present “tangible” milestones for its robotaxi and Optimus programs.

Canaccord Genuity analysts echoed that sentiment, writing the firm wanted to see meaningful robotaxi deployments over the next six months as Tesla ramped up its AI strategy.

surprising factCanaccord analysts noted they hoped to see momentum around a merger between Tesla and SpaceX. In Tesla’s earnings call, Musk deflected a question about a possible tie-up following months of speculation: “We can’t talk about, you know, combining companies and that kind of thing on an earnings call—it has got to be done with the appropriate process.” Musk did note there is “more and more overlap” between his two firms, pointing to Starlink’s integration in Cybertrucks, and TeraFab, a proposed AI chip manufacturing venture between Tesla, SpaceX and the former xAI, which is now a SpaceX subsidiary.

what to watch forSpaceX will launch its 13th test flight of the Starship rocket on Thursday, its first since the rocket maker’s initial public offering last month. An earlier launch scheduled for last week was aborted after Musk said some of the rocket’s engines failed to start. That pushed SpaceX shares down by more than 4%, lowering Musk’s net worth by more than $45 billion.

contraSpaceX shares were largely flat on the day, down only 0.1% as of around 1:45 p.m. EDT, having little impact on Musk’s fortune.

key backgroudnMusk’s fortune has fallen more than $700 billion from its peak, which came shortly after SpaceX’s IPO. A trading debut for his SpaceX made him a trillionaire, and surging shares in the rocket maker boosted him to a high of $1.45 trillion before a weekslong selloff that has since pushed his net worth below pre-IPO levels. The latest dip in Tesla shares followed speculation from shareholders about whether Musk would reveal updates for Tesla’s Optimus robotics or robotaxi plans, with submitted questions ahead of the automaker’s earnings asking why its robotaxi business had been “stalled.” Another question posed: “What is keeping Tesla back from accomplishing these short-term goals that they’ve set for themselves?”

further readingForbesMusk Says Tesla And SpaceX ‘Can’t Talk About’ Merging On Earnings Call—But Here’s What He Did SayBy Ty Roush

Tesla Inc. (NASDAQ:TSLA) shares are down sharply after the company’s earnings update, putting the stock on track for its worst session in more than a year.

Tesla was down 14% in the session, a move that would mark its worst day since June 2025.

Tesla’s Q2 Earnings MissThe decline follows a disappointing second-quarter earnings report. On Thursday, Tesla reported an adjusted earnings per share of 33 cents, falling short of the 50 cents expected by analysts.

Former Tesla president Jon McNeill noted that these discounts, combined with a significant drop in regulatory credit revenue, have squeezed margins.

Analysts Adjust Tesla Price TargetsTechnical Analysis

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Key Takeaways Coca-Cola is expected to report Q2'26 revenue and EPS growth, with results due on July 28.KO's all-weather strategy is supported by pricing actions, organic growth and global value share gains.KO faces volume pressure in North America and Europe as value-conscious consumers weigh on demand. The Coca-Cola Company (KO - Free Report) is slated to report second-quarter 2026 earnings on July 28, before the opening bell. The company is expected to register year-over-year top- and bottom-line growth when it posts second-quarter numbers.

The Zacks Consensus Estimate for revenues is pegged at $13.1 billion, implying 4.2% growth from the year-ago quarter's reported figure. The consensus estimate for earnings is pegged at 92 cents per share, indicating 5.6% growth from the prior-year quarter’s reported figure. The consensus mark for earnings has been unchanged in the past 30 days.

The Atlanta, GA-based company has been reporting steady earnings, as evidenced by its positive earnings surprise trend in the trailing 12 quarters. Coca-Cola delivered a trailing four-quarter earnings surprise of 4.5%, on average. On the last reported quarter’s earnings call, the company registered an earnings surprise of 6.2%. Given its positive record, the question is, can KO maintain its momentum?

Q2 Earnings Whispers for Coca-ColaOur proven model does not conclusively predict an earnings beat for KO this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.

Coca-Cola currently has a Zacks Rank #3 and an Earnings ESP of 0.00%.

You can see the complete list of today’s Zacks #1 Rank stocks here.

Key Trends in Focus Ahead of KO's Q2 Earnings ReleaseCoca-Cola’s second-quarter 2026 results are expected to reflect the strength of its all-weather strategy and the resilience of its global portfolio. KO’s momentum has been fueled by solid organic revenue growth, effective pricing actions and continued gains in global value share across the non-alcoholic RTD category. The company’s ability to command premium pricing underscores the strength of its brand portfolio and execution discipline. Strategic revenue growth management and affordability initiatives are helping balance pricing with consumer retention.

Our model predicts organic revenue growth of 3.9% and comparable EPS to rise 6.5% year over year to 93 cents for the second quarter.

KO’s ongoing focus on innovation, digital transformation and marketing excellence further sharpens its competitive edge, with breakthrough product launches and culturally resonant campaigns elevating brand relevance. The company’s refreshed marketing model blends digital, live and in-store touchpoints to build stronger, more personalized consumer connections. Margin expansion, driven by productivity gains, easing inflation and disciplined revenue growth management, reinforces its financial durability.

Looking ahead, Coca-Cola expects to maintain strong margin discipline, supported by productivity gains, favorable price/mix dynamics and gradual easing of inflationary pressures. Our model predicts the adjusted operating margin to expand 30 bps year over year to 35% in the second quarter, led by a flat adjusted gross margin rate and a 40-bps improvement in the SG&A expense rate.

For second-quarter 2026, comparable revenues and EPS are expected to include currency tailwinds of 1% and 3%, respectively. Both metrics are also estimated to include a 1% headwind from acquisitions and divestitures.

However, Coca-Cola is expected to have faced notable volume pressure in key markets, reflecting evolving consumer behavior and economic challenges, particularly in North America and Europe. The company is witnessing soft volumes as low-income consumers remain value-conscious amid inflationary pressures. These widespread volume challenges signal waning consumer momentum, particularly in lower-income groups.

While Coca-Cola continues to rely on price/mix gains to support revenues, the persistence of volume softness raises concerns about sustained demand, making recovery efforts in lagging regions even more critical.

Coca-Cola’s Price Performance & ValuationKO shares have risen as much as 17.6% year to date. The stock has outpaced the broader industry and the Consumer Staples sector’s 10.9% and 8.4% growth, respectively. KO stock has also outperformed the S&P 500 index, which has risen 9.5% in the same period.

KO Stock’s YTD Performance
Image Source: Zacks Investment Research

Coca-Cola stock has outperformed its key competitor, PepsiCo Inc. (PEP - Free Report) , which has declined 5.4% year to date. Coca-Cola has also outpaced Keurig Dr Pepper Inc.’s (KDP - Free Report) growth of 7.9% but underperformed Monster Beverage Corporation’s (MNST - Free Report) rally of 24.8% in the same period.

From the valuation standpoint, KO trades at a forward 12-month P/E multiple of 24.3X, exceeding the industry average of 19.01X and the S&P 500’s average of 20.85X. Coca-Cola’s valuation appears quite pricey.

Image Source: Zacks Investment Research

KO undoubtedly commands a high valuation, reflecting its strong market positioning, brand power and long-term growth potential compared with other non-alcoholic beverage companies. However, we believe that its valuation is too stretched at this time.

Investment ThesisCoca-Cola remains a powerhouse in the beverage industry, commanding more than 40% of the global non-alcoholic beverage market. The company’s enduring success is driven by a formidable market presence, world-class marketing capabilities and a relentless focus on innovation. With a portfolio boasting more than 4,700 products and 500 brands, spanning sodas, juices, waters and energy drinks, Coca-Cola continues to reinforce its leadership.

KO’s dominant market share, broad product range and strategic emphasis on innovation and digital transformation position it well for sustained long-term growth. However, short-term headwinds, such as inflationary pressures, global macroeconomic uncertainties and unfavorable currency fluctuations, remain challenges to navigate.

ConclusionCoca-Cola enters its second-quarter earnings release with solid momentum, supported by pricing strength, organic revenue growth, productivity gains and disciplined margin management. Its powerful brand portfolio, innovation pipeline and global reach continue to reinforce long-term resilience. However, persistent volume weakness in North America and Europe, particularly among lower-income consumers, remains a key concern.

The stock’s strong year-to-date rally and premium valuation leave limited room for disappointment. Although Coca-Cola’s fundamentals remain sound, investors may prefer to wait for clearer evidence of volume recovery and sustained earnings momentum before considering fresh exposure at the current valuation levels following earnings.

Alphabet (GOOG -6.73%) (GOOGL -6.80%) stock tumbled 7.4% through 11:20 a.m. ET Thursday despite absolutely steamrolling analyst forecasts for Q2 earnings. Expected to earn just $2.88 per share on $116.5 billion in sales, Alphabet reported profits of $9.11, and sales of $119.8 billion -- both well ahead of expectations.

So why is Alphabet stock crashing in response?

Image source: Google.

Alphabet Q2 earnings Revenue ran ahead 24% year over year , led by Google Cloud growth of 84%. Google Services revenues were up only 15%, however, with Google Search up 17%, and YouTube Ads up 13%. Earnings roughly tripled year over year.

CEO Sundar Pichai credited "AI infrastructure and AI solutions" in the company's Cloud business for the performance. It's no surprise, therefore, that Alphabet plans to double down on what's working, and management says it will increase capital investment in AI to somewhere between $195 billion and $205 billion this year (about $15 billion beyond previous predictions) -- and then spend even more hiring AI computing capacity from third parties.

And that didn't please investors one bit.

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What it means for Alphabet stock Alphabet's tremendous cash outlays for AI may be delivering the revenue and GAAP profit growth investors like to see, but they're devastating the company's cash flow statement, which showed $5.8 billion in cash burn in Q2 -- versus $5.3 billion in positive FCF a year ago.

The "good" news is that if Alphabet invests "only" $205 billion in building out its AI business this year, then forecasts for $210 billion in cash from operations will return the company to about $5 billion in positive FCF by the end of the year.

The bad news: GAAP profit is expected to be $225 billion this year. And almost none of that will be backed up by real free cash flow.

Caveat investor.

Rich Smith has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Alphabet. The Motley Fool has a disclosure policy.

Investment Thesis

Negative FCF is only temporary

Image credit: Financial Times (Data: S&P Capital IQ, Bloomberg)

Consequently, in Q2 2026, GOOGL’s CapEx reached a record $44.9 billion, while growth to $50.4 billion is projected for the following quarter. At the same time, in one year, quarterly CapEx will reach $65.2 billion, whereas FCF will be -$1.2 billion.

Image credit: Author

Also, it’s worth noting that the company’s total debt increased from $90.5 billion to $112.7 billion. But this rise in debt is offset by an increase in cash reserves from $126.8 billion to $242.4 billion. However, this can hardly be called a positive development, since the increase in cash reserves was achieved by diluting shareholders’ equity. It is a significant shift for a company that frequently engages in share buybacks.

Image credit: Author

According to GOOGL’s CEO, though, no further stock offerings are expected. The next round of investments will be financed through operating cash flow, reserves, and debt. A big chunk of the investments is aimed at meeting the strong growth in demand for Google Cloud, which saw its order backlog increase from $460 billion to $514 billion.

Risks exist, but they will not alter the trajectory of development

The current upward revision to the CapEx forecast, though, is less a result of the need to scale the company’s AI infrastructure and more a result of rising prices for the equipment and components used to build the data centers themselves. The manufacturers of GPUs, TPUs, DRAM, optical and copper interconnects, as well as other components, are the beneficiaries of Alphabet’s latest report.

This means, for GOOGL, a definite increase in the cost of services and higher CapEx to expand the necessary AI infrastructure. Because of this, the company’s operating margin rose to 34%, even though many had predicted it would reach 40%. So, the temporary decline in business margins is not a hypothetical risk, it’s a real one.

Image credit: Author

Conclusion

Hence, key takeaways for investors include not only maintaining the “Buy” rating on GOOGL shares but also the emergence of a strong signal for the semiconductor and AI infrastructure markets. The shortage of components is driving up their prices, increasing margins for manufacturers. Therefore, a large portion of my portfolio consists of the aforementioned companies and other firms benefiting from the AI supercycle.

Analyst’s Disclosure: I have a beneficial long position in the shares of GOOGL either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it. I have no business relationship with any company whose stock is mentioned in this article.

Benzinga Disclaimer: This article is from an unpaid external contributor. It does not represent Benzinga’s reporting and has not been edited for content or accuracy.

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@ProsperTradingAcademy's Charles Moon talks all about tech for his Big 3 picks Thursday. He sees opportunity in Alphabet (GOOGL) as the stock sells off after earnings, compares SK Hynix's (SKHY) setup to the Mag 7 giant's earnings reaction, and sees IREN (IREN) as a high-risk, high-reward opportunity.

Key Takeaways Alphabet beat estimates, but rising AI capex overshadowed strong Cloud growth.Alphabet's Cloud revenues jumped 82% and operating income surged 212%.Alphabet lifted its 2026 capex outlook to $195-$205B, raising investor concerns. Alphabet (GOOGL - Free Report) came up with second-quarter 2026 earnings on July 22, after market close. Earnings of $9.11 per share surpassed the Zacks Consensus Estimate of $2.88 by a staggering 216.32%. The bottom line marked a remarkable improvement of 294.37% from earnings of $2.31 per share recorded in the same period last year.

The tech giant has a Zacks Rank #1 (Strong Buy) and a Momentum Score of A. As quoted on the tech giant’s earnings release, Alphabet and Google CEO Sundar Pichai described the June 2026 quarter as "amazing."

He also highlighted the growing adoption of Gemini Enterprise, noting that nearly 90% of the Fortune 100 companies are now using it. Pichai noted that Gemini models now process 22 billion API tokens per minute and the Gemini app boasts 950 million monthly active users.

However, GOOGL shares declined about 5% in pre-market trading on July 23. Despite delivering better-than-expected results, investors reacted negatively to the company's decision to raise its capital expenditure for 2026.

The move reinforces a broader trend across the technology sector, where investors have grown increasingly concerned about the escalating AI-related spending by Big Tech and increasing skepticism about the near-term payoff from AI investments. The tech giant's shares also came under pressure in pre-market trading amid investor concerns over reports of continued delays to its next flagship AI model, Gemini 3.5 Pro.

Snapshot of Q2 EarningsAlphabet posted revenues of $103.62 billion for the quarter ended June 2026, surpassing the Zacks Consensus Estimate of $101.28 billion by 2.31%. This marked a substantial increase of 26.79% from the year-ago quarter.

Alphabet’s net income for the quarter saw a substantial surge of about 297.59% from the year-ago quarter to $112.11 billion. The tech giant’s operating income for the quarter was $40.77 billion, which marked an increase of 30.38% from the year-ago quarter.

Segment SnapshotsSecond-quarter revenues from Google advertising reached $81.63 billion, up 14.42% from the year-ago quarter. The segment includes Google Search & other, YouTube ads and Google Network. Revenues from Google Search & other, which reached $63.27 billion in the second quarter, marked a rise of 16.76% from $54.19 billion in the year-ago quarter, while YouTube ad revenues increased 12.85%, to reach $11.06 billion in the second quarter.

Revenues from Google Services, which includes Google advertising and Google subscriptions, platforms and devices, increased 14.53% from the year-ago quarter, reaching $94.54 billion. Operating income from the segment reached $39.54 billion for the quarter ended June 2026, marking an increase of 19.6% from the prior-year figure of $33.06 billion.

Alphabet’s Google Cloud business witnessed a substantial surge, with operating income increasing to $8.81 billion, an impressive 211.89% increase from the prior-year figure of $2.83 billion. Revenues from the Cloud segment also witnessed a substantial rise of 81.79% year over year to $24.77 billion. The segment’s revenues surpassed the Zacks Consensus Estimate of $22.77 billion by 8.77%.

The rise in Google Cloud’s revenues was driven by an increase in Google Cloud Platform (GCP) across enterprise AI Solutions and enterprise AI Infrastructure, as well as core GCP services.

Capex Surge Remains a Key Investor ConcernAlphabet reported capital expenditures of $44.92 billion for the quarter ended June 2026, nearly doubling from $22.45 billion in the year-ago quarter. Through the first half of 2026, the company's capital expenditures totaled $80.59 billion.

As quoted on a Reuters article, according to the tech giant’s CFO Anat Ashkenazi, Alphabet also raised its full-year capital expenditure outlook. Speaking on a conference call with analysts, Ashkenazi stated that the company now forecasts capex of $195 billion to $205 billion this year, up from its previous guidance of $180 billion to $190 billion for 2026.

Ashkenazi reaffirmed that Alphabet expects another meaningful step-up in capital expenditures in 2027. According to the abovementioned Reuters article, despite being one of the best-performing Magnificent Seven stocks this year, Alphabet's shares have come under pressure since late April amid concerns over delays to Gemini, high-profile executive departures and rising regulatory scrutiny.

Alphabet’s Stock OutlookAlphabet currently has an average brokerage recommendation (ABR) of 1.25 on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations made by 55 brokerage firms. The current ABR compares to an ABR of 1.29 a month ago based on 55 recommendations.

Of the 55 recommendations deriving the current ABR, 46 are Strong Buy and four are Buy. Strong Buy and Buy, respectively, account for 83.64% and 7.27% of all recommendations. A month ago, Strong Buy made up 81.82%, while Buy represented 7.27%, indicating that the majority of the analysts remain bullish.

Based on short-term price targets offered by 51 analysts, the average price target for Alphabet comes to $434.82, ranging from a low of $365.00 to a high of $515.00. The average price target represents an increase of 27.11% from the last closing price of $342.09 (as of market close on July 22).

ETFs to Explore

Here, we have highlighted ETFs with heavy exposure to Alphabet.

Global X PureCap MSCI Communication Services ETF (GXPC - Free Report) has an exposure of 31.45% to GOOGL.

VanEck Communication Services TruSector ETF (TRUC - Free Report) has an exposure of 14.28% to GOOGL.

Vanguard Communication Services ETF (VOX - Free Report) has an exposure of 14.4% to GOOGL.

Fidelity MSCI Communication Services Index ETF (FCOM - Free Report) has an exposure of 14.28% to GOOGL.

iShares Global Comm Services ETF (IXP - Free Report) has an exposure of 12.22% to GOOGL.

A woman walks by a giant screen displaying the Google logo at an event at the Paris Google Lab on the sidelines of the AI Action Summit in Paris, Feb. 9, 2025. Credit: AP Photo/Thibault Camus, File The European Union on Thursday hit Google with a fine of 890 million euros ($1 billion) after it said the technology behemoth broke digital antitrust regulations by setting up Google Play and its ubiquitous search engine to corral consumers towards its own services and apps to the detriment of competitors.

It was the latest major crackdown on Big Tech by Brussels, which has led the world in reining in some of the world's largest companies from Silicon Valley to Beijing.

Google had recently lost its appeal of a $4.5 billion antitrust fine imposed for throttling competition and reducing consumer choice through the dominance of its mobile Android operating system.

The European Commission, the bloc's executive branch, said it was acting in the interest of consumers.

"The best products should succeed because they're better, not because they're owned by the company running the search engine. And European consumers have a right to be told by app developers where to sign up to the best offers, even when the app store owner does not get a cut," said Teresa Ribera, the commission's Executive Vice President for Clean, Just and Competitive Transition.

Google's President of Global Affairs Kent Walker blasted the fine as "product degradation driven by a small group of self-serving complainants" that will negatively impact European businesses and consumers.

He said that the EU's Digital Markets Act forces Google "to strip away real-time search features Europeans love—like instant pricing and direct availability for hotels, flights, and restaurants—and dismantle safety protections on Google Play."

"In the EU, businesses have the right to compete fairly. Gatekeepers have the obligation to ensure a level playing field and consumers the right to choose for cheaper alternative offers," European Commission spokesperson Thomas Regnier said.

Who's behind this story?

Andrew Zinin Master's in physics with research experience. Long-time science news enthusiast. Plays key role in Science X's editorial success. Full profile →

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The AI boom didn't stop Google from hiring nearly 12,000 people By You're currently following this author! Want to unfollow? Unsubscribe via the link in your email.

and Madison Hoff You're currently following this author! Want to unfollow? Unsubscribe via the link in your email.

Google CEO Sundar Pichai. Benjamin Fanjoy/Getty Images As companies make rounds of job cuts and double down on AI spend, Google's parent company Alphabet is expanding its workforce.

Alphabet reported blockbuster second-quarter earnings, with revenue climbing 24% year over year to $119.8 billion. The company revealed in its earnings report that it increased head count by 11,830 employees, from 187,103 to 198,933, between June 30, 2025 and June 30, 2026.

The chart below shows how Alphabet's workforce has grown from the end of the first quarter of 2025 through the end of the second quarter of 2026.

The biggest jump in Alphabet's head count of the last couple of years came in the second quarter of 2026, when the company added over 4,000 workers, accounting for more than one-third of net hiring over the past year.

Since 2022, companies including Google, Meta, Amazon, and Microsoft have cut thousands of jobs. Google laid off 12,000 employees in 2023 and has conducted several smaller rounds of cuts since, impacting thousands of employees in total.

Google employees from around the country rallied last week to demand stronger protections against layoffs. Roughly 4,500 employees signed a petition about job security addressed to CEO Sundar Pichai and three senior executives at the tech giant.

While Google didn't share which roles it has hired more of over the last year, the company said in its earnings on Thursday that it's prioritizing long-term AI growth and doubling down on its AI buildout.

The tech giant raised its 2026 capital expenditure outlook to between $195 billion and $205 billion, up from a previous estimate of up to $190 billion. The company said its demand for AI infrastructure continues to outpace available capacity.

Read next

Ana Altchek You're currently following this author! Want to unfollow? Unsubscribe via the link in your email.

Madison Hoff You're currently following this author! Want to unfollow? Unsubscribe via the link in your email.

Madison Hoff is a reporter on Business Insider’s economy team. She covers the labor market, inflation, spending, and other data. In addition to covering new estimates and trends, her workforce reporting includes career pivots, job searching, and side hustles.She also covers downsizing, particularly people selling their houses to pursue RV living. She has also reported on how much teachers spend out of pocket and what it’s like being a caregiver.Her stories often cover the state of the economy, what experts are saying, and how people are navigating the workplace or their careers.Previously, she was a junior reporter and data editorial fellow on the Strategy team.A few of her stories:

Job-market trend: Welcome to the 'Great Freeze': Why companies aren't firing, workers can't grow, and the unemployed can't get jobsJob-market trend: Everyone's focused on AI — but it's aging Americans who are quietly rewiring the job marketCareer pivot: I retired early from my federal job and took a part-time job at TJ Maxx. I'm happier and less stressed.Downsizing/RV living: An empty-nester couple who traded in a $400K house for an $80K RV explain their favorite parts of retirement on the roadJob searching: People who haven't had steady work for at least a year are networking, doing temporary jobs, and soul-searchingSide hustles: A millennial who used side hustles to pay off debt explains the lucrative and easy ones she recommendsTeacher spending: A teacher who spent more than $5,000 of her own money to make a cozy classroom explains why it helps kids learn Google AI Tech More Layoffs

Amazon (AMZN, Financials) is the e-commerce and cloud computing giant now under scrutiny by the U.S. Senate for suspicions that Chinese influence had a role in decisions made about its online marketplace.

A source citing people involved in the inquiry said Republican aides on the Senate Small Business Committee said they uncovered evidence of potential negligence related to China-based activities.

The investigation comes after reports that Amazon employees in China were allegedly selling favors to merchants who wanted to get better treatment on the platform.

One inventor told committee researchers that an intermediary promised to leverage connections with Amazon workers in China to assist fix marketplace problems in exchange for money.

The allegations challenge Amazon's control of third-party merchants, which constitute around 60% of the products sold on the platform.

Some shops have complained for years about unexpected suspensions, inconsistent enforcement and difficulty appealing penalties. Those challenges produced the need for middlemen who say they have access to internal decision-making.

The probe comes on top of wider regulatory challenges facing Amazon, including antitrust claims and allegations of deceptive business practices. The corporation has denied any misconduct in those cases.

Now investors will watch to see if the Senate committee would seek testimony, documents or policy changes from Amazon.

Amazon.com Inc. AMZN shares fell about 4% in trading on Thursday after a report said a US Senate panel is investigating whether the company allowed China to exert undue influence over its online marketplace.

According to Bloomberg, Republican staff members on the Senate Small Business Committee have been examining potential “Amazon negligence related to Chinese influence” and have uncovered “compelling evidence,” citing committee correspondence and interviews.

The reported investigation adds to Amazon’s existing regulatory challenges, including antitrust lawsuits and allegations of deceptive business practices, both of which the company has denied.

The latest inquiry expands scrutiny of the e-commerce giant beyond domestic competition issues to its international marketplace operations.

The congressional investigation follows a Bloomberg report describing an international bribery network involving Amazon employees based in China.

According to the report, some employees allegedly accepted payments from merchants in exchange for administrative favors and competitive advantages on Amazon’s marketplace.

As part of the investigation, committee researchers interviewed independent merchant Jack Nekhala, a Staten Island inventor who sells mattress sheet fasteners.

Nekhala said he shared recordings of conversations with an intermediary who claimed to have contacts among Amazon employees in China capable of manipulating seller accounts in exchange for payment.

Committee researchers were particularly interested in understanding how employees based in China could influence Amazon’s marketplace, according to Nekhala.

Another individual who works with Amazon sellers told Bloomberg that committee staff also requested referrals to additional merchants for interviews, although the person declined to be identified because they were not authorized to discuss the committee’s work.

Third-party sellers and broader regulatory scrutiny remain in focusIndependent third-party merchants account for roughly 60% of products sold through Amazon’s online marketplace.

According to the report, many sellers have long complained about unexpected account suspensions, arbitrary enforcement actions and limited access to effective customer support.

Some merchants have reportedly turned to intermediaries offering connections to Amazon insiders who could reverse suspensions or restore product listings in exchange for payments.

The latest investigation comes as Amazon continues to reshape parts of its business.

On July 22, the company confirmed workforce reductions within its core Artificial General Intelligence (AGI) division following broader layoffs affecting approximately 16,000 employees earlier this year.

Amazon said the latest cuts were intended to streamline operations and redirect resources toward projects delivering direct customer value and commercial impact.

Internal communications indicated that role reductions primarily affected teams within AGI Data Services and AGI Information. The company's AGI division includes work on Nova foundation models, custom AI chips and quantum computing hardware.

Wall Street analysts were broadly positive on Amazon before the development.

Citi analyst Ronald Josey reiterated a Buy rating on July 16 with a $325 price target. KeyBanc also maintained a Buy rating the same day, assigning a $335 price target.

According to TipRanks data, the broader analyst consensus remains a Strong Buy, with an average price target of $318.98, representing an implied upside of approximately 36.41% from current levels.

Astera Labs: Consistent Revenue IncreasesAstera Labs (ALAB -3.07%) develops and markets semiconductor-based connectivity solutions for cloud computing and artificial intelligence infrastructure.

It expanded its operations in Taiwan in June 2026, while reporting a net income margin of 26% for the quarter ended March 31, 2026.

Advanced Micro Devices: Managing Massive ScaleAdvanced Micro Devices (AMD -3.21%) primarily generates revenue by developing microprocessors, chipsets, and graphics processing units for various hardware clients.

It committed over $10 billion to the Taiwan ecosystem in May 2026, and reported an EBIT margin of 14% for the quarter ended March 28, 2026.

Why Revenue Matters for Retail InvestorsRevenue represents the total money a business brings in before any expenses are subtracted. This metric helps investors measure a company’s overall size, market footprint, and long-term trajectory.

Quarterly Revenue for Astera Labs and Advanced Micro DevicesQuarter (Period End)Astera Labs RevenueAdvanced Micro Devices RevenueQ2 2024$76.8 million (period ended June 2024)$5.8 billion (period ended June 2024)Q3 2024$113.1 million (period ended Sept. 2024)$6.8 billion (period ended Sept. 2024)Q4 2024$141.1 million (period ended Dec. 2024)$7.7 billion (period ended Dec. 2024)Q1 2025$159.4 million (period ended March 2025)$7.4 billion (period ended March 2025)Q2 2025$191.9 million (period ended June 2025)$7.7 billion (period ended June 2025)Q3 2025$230.6 million (period ended Sept. 2025)$9.2 billion (period ended Sept. 2025)Q4 2025$270.6 million (period ended Dec. 2025)$10.3 billion (period ended Dec. 2025)Q1 2026$308.4 million (period ended March 2026)$10.3 billion (period ended March 2026)Data source: Company filings. Data as of July 17, 2026.

Foolish TakeAstera Labs and Advanced Micro Devices (AMD) are two of the biggest beneficiaries of artificial intelligence’s arrival into the mainstream. AMD’s revenue towers over Astera Labs, illustrating the massive demand for its advanced semiconductor chips used in AI systems.

That said, Astera Labs is growing faster. Its first-quarter revenue of $308.4 million represented a whopping 93% year-over-year increase. This demonstrates how its connectivity solutions are quickly becoming critical components of AI infrastructure.

Astera Labs expects sales to continue accelerating. It forecasted revenue in a range between $355 million to $365 million for Q2. The increase in data centers to expand AI capacity is contributing to the company’s incredible revenue growth.

AMD is no slouch, however. The sales of $10.3 billion in its latest quarter is an outstanding 38% year-over-year increase. It expects to reach revenue of $11.2 billion in the second quarter. On July 22, the company announced a new deal with AI giant Anthropic, and a separate announcement of an expanded partnership with Microsoft on July 20. These reveal that AMD’s sales are likely to see continued growth.

Robert Izquierdo has positions in Advanced Micro Devices, Astera Labs, and Microsoft. The Motley Fool has positions in and recommends Advanced Micro Devices and Microsoft. The Motley Fool recommends Astera Labs. The Motley Fool has a disclosure policy.

News Highlights 

AMD and Cerebras are collaborating to advance a workload-optimized approach to ultra-low-latency AI inference infrastructure.  AMD Helios™ and the Cerebras Wafer-Scale Engine will operate as a single disaggregated inference workflow, combining ultra-high-throughput from AMD Instinct™ GPUs, with ultra-fast token generation of Cerebras Wafer-Scale Engine.Cerebras plans to deploy AMD Helios in its data centers, with the joint solution expected to be available first through Cerebras Cloud in the second half of 2026. 
SAN FRANCISCO and SUNNYVALE, Calif., July 23, 2026 (GLOBE NEWSWIRE) -- AMD (NASDAQ: AMD) and Cerebras Systems (NASDAQ: CBRS) announced a technical partnership to deliver a new disaggregated AI inference solution that combines AMD Helios™ rackscale solutions with the Cerebras Wafer-Scale Engine. Unveiled at Advancing AI 2026, the solution is designed to deliver the ultra-low latency required for the most advanced AI applications while dramatically increasing the throughput and efficiency. 

The joint AMD and Cerebras solution will deploy AMD Helios alongside Cerebras Wafer-Scale Engine technology integrated in a single inference workflow for maximum performance and efficiency. AMD Helios will provide a high-performance, scalable throughput engine. Cerebras Wafer-Scale Engine technology will provide ultra-fast, ultra-low latency decode and token generation. Together, the two compute engines are expected to deliver up to 5x higher tokens per second per watt (T/s/W) i. 

AI inference workloads increasingly have different requirements across latency, throughput, token capacity, cost and scale. High-volume workloads prioritize maximizing token generation, while coding, real-time copilots, live agents and agentic workflows demand faster response times. These differences are driving demand for heterogeneous infrastructure that matches compute technologies to specific workload requirements.  

The AMD and Cerebras solution addresses this challenge through disaggregated inference, optimizing the two primary stages of the workflow independently. AMD Helios provides ultra-high throughput, processing prompts and large context windows. The Cerebras Wafer-Scale Engine accelerates the memory-bandwidth-intensive token generation, with ultra-low latency. By connecting these best-in-class engines through one integrated workflow, the companies are creating a differentiated platform for ultra-low-latency inference without sacrificing throughput or scale. 

“AI inference is becoming one of the largest infrastructure opportunities in AI, and its growing diversity requires a more flexible approach,” said Dr. Lisa Su, chair and CEO, AMD. “AMD Helios delivers leadership performance and scale for the broadest range of inference workloads. Together with Cerebras, we are extending that leadership into the most latency-sensitive applications and creating a powerful new platform for real-time agentic AI.”   

 “The demand for ultra-fast inference is growing at an unprecedented pace. Cerebras delivers the world’s fastest, ultra-low-latency inference,” said Andrew Feldman, CEO and co-founder, Cerebras. “Partnering with AMD gives us an incredible opportunity to bring that performance to even more customers.” 

Fast token generation is becoming increasingly important as AI moves into software development, autonomous agents, robotics, scientific discovery and other applications where response time directly shapes the user experience and the usefulness of the system. The joint solution brings together complementary architectures purpose-built for these demands.  

AMD Helios provides the high-throughput prompt engine, rack-scale efficiency and deployment scale required to process large numbers of complex requests. Cerebras Wafer-Scale Engine technology provides the ultra-low-latency and decode performance needed to return tokens in real time. The result is a solution designed specifically for the ultra-low-latency segment of the inference market, with AMD Helios as the foundation for high-throughput and balanced inference workloads across the data center. 

Cerebras plans to deploy AMD Helios systems in its data centers, with the joint solution expected to become available initially through Cerebras Cloud in the second half of 2026.  

Supporting Resources

Follow AMD at Advancing AI 2026 (Press Kit)Learn more about AMD Helios™ rackscale solutionLearn more about AMD Instinct™ AcceleratorsConnect with AMD on LinkedInFollow AMD on XLearn more about the Cerebras Wafer-Scale EngineConnect with Cerebras on LinkedIn | Follow Cerebras on X
About AMD
AMD (NASDAQ: AMD) drives innovation in high-performance and AI computing to solve the world’s most important challenges. Today, AMD technology powers billions of experiences across cloud and AI infrastructure, embedded systems, AI PCs and gaming. With a broad portfolio of AI-optimized CPUs, GPUs, networking and software, AMD delivers full-stack AI solutions that provide the performance and scalability needed for a new era of intelligent computing. Learn more at www.amd.com.

About Cerebras Systems

Cerebras Systems (NASDAQ: CBRS) builds the world’s fastest AI infrastructure. The Cerebras team of pioneering computer architects, computer scientists, AI researchers, and engineers of all types came together to make AI blisteringly fast through innovation and invention. We believe that when AI is fast, it will change the world. Leading global corporations, research institutes, and governments choose Cerebras to run their AI workloads. Cerebras solutions are available on premises and in the cloud. Visit cerebras.ai for more.

AMD CAUTIONARY STATEMENT

This press release contains forward-looking statements concerning Advanced Micro Devices, Inc. (AMD) such as the features, functionality, performance, availability, scalability, deployment, timing and expected benefits of AMD’s collaboration and joint solution with Cerebras, which are made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are commonly identified by words such as "would," "may," "expects," "believes," "plans," "intends," "projects" and other terms with similar meaning. Investors are cautioned that the forward-looking statements in this press release are based on current beliefs, assumptions and expectations, speak only as of the date of this press release and involve risks and uncertainties that could cause actual results to differ materially from current expectations. Such statements are subject to certain known and unknown risks and uncertainties, many of which are difficult to predict and are generally beyond AMD's control, that could cause actual results and other future events to differ materially from those expressed in, or implied or projected by, the forward-looking information and statements. Material factors that could cause actual results to differ materially from current expectations include, without limitation, the following: impact of government actions and regulations such as export regulations, import tariffs, trade protection measures, and licensing requirements; competitive markets in which AMD’s products are sold; the cyclical nature of the semiconductor industry; market conditions of the industries in which AMD products are sold; AMD’s ability to introduce products on a timely basis with expected features and performance levels; loss of a significant customer; economic and market uncertainty; quarterly and seasonal sales patterns; AMD's ability to adequately protect its technology or other intellectual property; unfavorable currency exchange rate fluctuations; ability of third party manufacturers to manufacture AMD's products on a timely basis in sufficient quantities and using competitive technologies; availability of essential equipment, materials, components (such as memory supply), substrates or manufacturing processes; ability to achieve expected manufacturing yields for AMD’s products; AMD's ability to generate revenue from its semi-custom SoC products; potential security vulnerabilities; potential security incidents including IT outages, data loss, data breaches and cyberattacks; uncertainties involving the ordering and shipment of AMD’s products; AMD’s reliance on third-party intellectual property to design and introduce new products; AMD's reliance on third-party companies for design, manufacture and supply of motherboards, software, memory and other computer platform components; AMD's reliance on Microsoft and other software vendors' support to design and develop software to run on AMD’s products; AMD’s reliance on third-party distributors and add-in-board partners; impact of modification or interruption of AMD’s internal business processes and information systems; compatibility of AMD’s products with some or all industry-standard software and hardware; costs related to defective products; failure to maintain an efficient supply chain as customer demand changes; AMD's ability to rely on third party supply-chain logistics functions; AMD’s ability to effectively control sales of its products on the gray market; impact of climate change on AMD’s business; AMD’s ability to realize its deferred tax assets; potential tax liabilities; current and future claims and litigation; impact of environmental laws, conflict minerals related provisions and other laws or regulations; evolving expectations from governments, investors, customers and other stakeholders regarding corporate responsibility matters; issues related to the responsible use of AI; restrictions imposed by agreements governing AMD’s notes, the guarantees of Xilinx’s notes and the revolving credit agreement; AMD’s ability to satisfy financial obligations under guarantees, leases and other commercial commitments; impact of acquisitions, joint ventures and/or investments on AMD’s business and AMD’s ability to integrate acquired businesses; impact of any impairment of the combined company’s assets; political, legal and economic risks and natural disasters; future impairments of technology license purchases; AMD’s ability to attract and retain key employees; and AMD’s stock price volatility. Investors are urged to review in detail the risks and uncertainties in AMD’s Securities and Exchange Commission filings, including but not limited to AMD’s most recent reports on Forms 10-K and 10-Q.   

CEREBRAS DISCLOSURE INFORMATION

Cerebras uses its investor relations page (investors.cerebras.ai), its X account (@cerebras), and its LinkedIn page (linkedin.com/company/cerebras-systems/) to disclose material non-public information and for complying with its disclosure obligations under Regulation FD. Accordingly, investors should monitor these channels, in addition to following Cerebras’ press releases, Securities and Exchange Commission (SEC) filings, public conference calls and public webcasts.

Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of applicable securities laws. All statements other than statements of historical fact could be deemed to be forward-looking, including, but not limited to, statements regarding the features, capacity, scalability, performance, timing, data center deployment and implementation, costs and expected benefits and opportunities associated with Cerebras' collaboration and joint solution with AMD, and any assumptions relating to the foregoing. The words “may,” “will,” “shall,” “should,” “expects,” “plans,” “anticipates,” “could,” “intends,” “target,” “projects,” “contemplates,” “believes,” “estimates,” “predicts,” “potential,” “objective,” or “continue,” or the negative of these words or other similar terms or expressions that concern our expectations, strategy, plans, or intentions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. These forward-looking statements are subject to a number of risks and uncertainties, many of which involve factors or circumstances that are beyond Cerebras’ control. These risks and uncertainties include, but are not limited to: Cerebras’ ability to sustain and manage its growth, access borrowings and other sources of capital on acceptable terms, and deploy available capital to support growth; its history of net losses and ability to achieve and maintain profitability; its limited operating history at its current scale and ability to accurately forecast revenue and appropriately budget and manage expenses; its dependence on a limited number of significant customers, including OpenAI, Group 42 Holding Ltd, Mohamed bin Zayed University of Artificial Intelligence, and AWS, and the potential impact of any reduction in demand from, material adverse development in its relationships with, or failure to meet its obligations to, such customers, including under its Master Relationship Agreement with OpenAI; the timing, execution and expected benefits of its strategic customer, partner and financing arrangements; its historical reliance on sales of hardware systems and the early-stage, rapidly evolving market for its cloud-based offerings and AI infrastructure; its ability to secure sufficient data center capacity and capital to support its cloud-based offerings; its ability to launch new offerings and add new product capabilities; and its ability to compete effectively in the rapidly evolving and competitive market for AI computing solutions.

Cerebras’ actual results could differ materially from those stated or implied in forward-looking statements due to a number of factors. Accordingly, undue reliance should not be placed on such statements. These forward-looking statements are made as of the date they were first issued and are based on information available to Cerebras together with Cerebras’ expectations, estimates, forecasts, projections, beliefs, and assumptions as of such date. These forward-looking statements should not be relied upon as representing Cerebras’ views as of any date subsequent to the date of this press release. Past performance is not necessarily indicative of future results. Cerebras undertakes no intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law.

Further information on potential risks that could affect actual results is included in Cerebras’ most recent filings with the Securities and Exchange Commission (the “SEC”), including in Cerebras’ most recent Quarterly Report on Form 10-Q, copies of which may be obtained by visiting Cerebras’ Investor Relations website at investors.cerebras.ai or the SEC’s website at www.sec.gov.

Contacts:
Aaron Grabein
AMD Communications
737-256-9518
[email protected]

Liz Stine
AMD Investor Relations
720-652-3965
[email protected]

Kriselle Laran
Cerebras
[email protected]

Sean Dorsey
Cerebras Investor Relations
[email protected]

_______________
i Based on modelling by AMD Performance Labs and Cerebras in July 2026 to determine tokens per second per kilowatt (TPS/kW) at a comparable interactivity point with Kimi 2.6 1T Model comparing an AMD Helios rackscale solution with Cerebras WSE to a Cerebras WSE-only configuration. System manufacturers may vary configurations, yielding different results. MI400-021

LAS VEGAS--(BUSINESS WIRE)--TensorWave, the all-AMD AI cloud specializing in high-performance, memory-intensive workloads, today announced it has adopted the AMD Helios rackscale solution, powered by AMD Instinct™ MI455X GPUs, to advance its infrastructure for frontier-scale inference and training workloads. The 72-GPU AMD Helios rackscale solution integrates AMD Instinct GPUs, 6th Gen AMD EPYC™ CPUs, AMD Pensando™ networking, and AMD ROCm™ software into a unified, open rack-scale platform buil.

SAN FRANCISCO--(BUSINESS WIRE)-- #AI--Infobell IT Solutions, a leader in enterprise technology services, is thrilled to announce a collaboration with AMD.

News Highlights

At Advancing AI 2026, AMD launches 6th Gen AMD EPYC™ CPUs, AMD Instinct™ MI400 Series GPUs, AMD Helios™ AI rackscale solutions, AMD Ryzen™ AI Embedded X100 processors and the AMD Kria™ AI SOM and Robotics Developer Platform.AMD Helios delivers up to 30% more inference tokens per dollar than the competition, maximizing output from every rack deployed.AI is accelerating demand for the full range of AMD silicon spanning data center, PCs, edge and embedded processors, driving AMD’s TAM to ~$2 trillion in 2030.Anthropic, OpenAI, Meta, Cerebras, AT&T and Cisco detailed how they are collaborating with AMD to advance AI infrastructure, enterprise capabilities and edge AI. SAN FRANCISCO, July 23, 2026 (GLOBE NEWSWIRE) -- AMD (NASDAQ: AMD) today launched its next-generation AI infrastructure and physical AI portfolio at Advancing AI 2026, led by AMD Helios rackscale solutions, now in production to be deployed by leading AI companies at gigawatt scale.

As AI expands from training to inference and agentic workloads, compute demand is accelerating rapidly. AMD delivers an open, full-stack AI platform that gives customers the flexibility to deploy the right compute for every workload.

“The next phase of AI will span frontier models, agents and physical AI, creating new opportunities to bring intelligence everywhere,” said Dr. Lisa Su, chair and CEO, AMD. “Realizing that potential will take the entire industry working together. AMD is partnering across the ecosystem to deliver leadership compute and open platforms that give customers the performance, flexibility and choice to scale AI from the data center to the edge.”

AMD Helios: The Highest Performance Rack-Scale AI Solution
Delivering frontier AI requires a fully integrated rack architecture, with every part of the stack pushing the boundaries of performance. AMD Helios rackscale solutions are built for this, with co-optimized silicon spanning 72 high-performance AMD Instinct™ MI455X GPUs and 18 powerful 6th Gen AMD EPYC™ “Venice” CPUs, connected by AMD Pensando™ front-end, scale-up and scale-out networking, and accelerated by AMD ROCm™ open software. AMD Helios combines leadership compute performance, memory capacity and networking bandwidth to deliver up to 30% more tokens per dollar than the leading competitive solution1.

Leading AI labs and cloud providers are choosing AMD Helios for its open, full-stack performance. They include OpenAI, Anthropic, Meta, Microsoft, Oracle, HUMAIN, Tensorwave, Vultr, Cirrascale and others. Systems will be available from leading OEMs, including Bull, HPE, Lenovo and Supermicro, as well as infrastructure partners Sanmina and Wiwynn.

At Advancing AI, AMD partners detailed how they deploy AMD AI infrastructure at scale for frontier training and inference:

Anthropic and AMD further outlined Wednesday’s strategic partnership announcement to deploy up to 2 gigawatts of AMD Instinct MI455X GPUs in AMD Helios rackscale solutions. The companies are launching a multiyear engineering collaboration to use Claude to accelerate AMD software development. Specifically, the teams will use Claude to optimize workloads for AMD Instinct GPUs and accelerate ROCm software development. AMD will also broadly adopt Claude across its engineering and product development teams.OpenAI and AMD are partnering to optimize the full AI stack, from silicon to software. Leveraging OpenAI’s Triton framework with AMD ROCm software, the companies are optimizing GPT-class workloads on AMD Instinct MI455X GPUs and AMD Helios racks. OpenAI expects to bring Helios online beginning in the fourth quarter of 2026, with deployments accelerating throughout 2027.Meta and AMD are co-designing for gigawatt-scale deployments, optimizing AMD’s full AI compute stack for Meta workloads. Meta is now validating 6th Gen EPYC CPU platforms in its labs and has begun testing and validating workloads on AMD Helios racks as they prepare to deploy at scale.Cerebras and AMD are collaborating to deliver a combined solution of Cerebras ultra-low-latency AI compute and AMD Helios high-throughput rack-scale infrastructure to help improve inference efficiency, scalability and economics for ultra-low-latency inference serving. Delivering the Highest Performance Data Center CPUs and GPUs
6th Gen EPYC processors deliver the broadest server CPU portfolio for agentic AI,2 spanning cloud, enterprise, general-purpose and high-performance computing (HPC) workloads. With leadership per-core performance and the highest thread density3, they enable the most agents per watt, per dollar and per rack.4,5,6 For AI host nodes, 6th Gen EPYC CPUs deliver the speed and memory bandwidth to keep accelerators fully fed. And for general-purpose servers, they bring leadership performance and energy efficiency to run business critical applications and AI support tasks.

With AMD Instinct™ MI400 Series GPUs, AMD delivers powerful performance for cloud, enterprise and HPC workloads. AMD Instinct MI455X GPUs deliver 34x higher token throughput compared to MI355X GPUs7. For high-precision workloads, the AMD Instinct™ MI430X accelerator is the most advanced for HPC and sovereign AI with up to 288 TFLOPS of hardware-based FP64 performance for scientific computing. Instinct MI430X accelerators are powering the next wave of exascale-class supercomputers across the U.S. and Europe.

AMD also launched the Instinct MI350P GPU, bringing seamless AI acceleration to existing infrastructure with leadership token economics. MI350P GPUs deliver up to 4.2x more tokens per second per dollar than the competition8.

Advancing the Open Software Ecosystem
For developers, AMD ROCm is the open software platform with the performance, flexibility and ecosystem support needed to build and deploy AI on AMD hardware. Building on that foundation, AMD is introducing ROCm.ai, an AI-driven development platform that helps developers build, optimize and deploy GPU software faster across AMD platforms. ROCm.ai brings AI-assisted GPU programming to developers by enabling popular coding agents such as Claude, Codex and Cursor to understand AMD platforms and ROCm natively.

ROCm.ai is accelerating software enablement for AMD Instinct MI455X GPUs while optimizing performance. Leading open-source frameworks including PyTorch, Hugging Face, vLLM and SGLang are already enabled on MI455X and seeing great results.

Accelerating Next-Generation AI Infrastructure
AMD is extending its annual cadence of CPU, GPU, networking and rack-scale innovation through 2030. The company shared new details on its roadmaps, including:

Next-generation EPYC server CPUs based on the “Zen 7” architecture are coming in 2028. The “Florence,” “Ferrara” and “Fidenza” CPUs are expected to extend AMD’s leadership in density, performance, performance-per-system dollar and performance-per-watt.“Ravenna” CPUs based on the “Zen 8” architecture are coming in 2030, designed to continue AMD server CPU leadership.Next-generation AMD Instinct MI500 Series GPUs are coming in 2027, with next-generation compute, memory and interconnect technologies for leadership performance.AMD Instinct MI600 Series GPUs are coming in 2028.The next-generation AMD Helios 500 rackscale solution will be powered by AMD Instinct MI500 Series GPUs and AMD EPYC “Verano” CPUs, with next-gen Pensando “Como” and “Monza” networking. The AMD Helios 600 rackscale solution will follow, powered by AMD Instinct MI600 Series GPUs, EPYC “Ferrara” CPUs and Pensando “Palma” and “Levanzo” networking. Scaling AI Across Enterprise
Leading enterprises run on AMD infrastructure, from cloud, hybrid and on-prem data centers to AI-enabled PC fleets. AMD technologies are helping customers scale quickly and accelerate enterprise transformation.

At Advancing AI, AT&T illustrated how it is deploying flexible enterprise AI using AMD technology across cloud, on-premises and air-gapped environments. AT&T is also using AMD Instinct GPUs and ROCm software to power its OTel 2.0 model, an open-source model trained specifically for telecoms.

With the AMD Ryzen™ AI Halo developer platform, AMD delivers performance, efficiency and simplicity that makes local AI development accessible. More AMD Ryzen AI Halo platforms, powered by Ryzen™ AI Max PRO 400 Series processors, will be available later this year from AMD and OEM partners.

Cisco and AMD are collaborating to combine AMD high-performance inference engines, including AMD Ryzen AI Halo systems, with Cisco networking, observability and security capabilities, so enterprises can deploy, govern and manage hybrid and local agentic AI at scale.  

Advancing the Next Frontier of Physical AI
As AI expands across cloud, enterprise and local systems, the next frontier is bringing intelligence into machines that perceive, reason and act in the physical world. Building on a long legacy in robotics with AMD FPGAs and adaptive SoCs, AMD introduced AMD Kria™ AI solutions, extending the company’s robotics capabilities from the robot body to the robot brain. AMD uniquely brings AI perception, reasoning and agentic decision-making and control together on a single platform to deliver the performance required for demanding real-world robotic systems.

The portfolio includes new AMD Kria AI system-on-modules (SOMs), powered by the new AMD Ryzen AI Embedded X100 Series processors, and the AMD Kria AI Robotics Developer Platform, the first open, turnkey integrated platform for autonomous robotics combining CPU, GPU, NPU and FPGA compute. Together with an expanded open software ecosystem, AMD Kria AI solutions remove vendor lock-in and help developers and customers accelerate the path from prototype to production for next-generation physical AI systems.

Supporting Resources

Follow AMD at Advancing AI 2026 (Press Kit)Watch the AAI keynote replay About AMD
AMD (NASDAQ: AMD) drives innovation in high-performance and AI computing to solve the world’s most important challenges. Today, AMD technology powers billions of experiences across cloud and AI infrastructure, embedded systems, AI PCs and gaming. With a broad portfolio of AI-optimized CPUs, GPUs, networking and software, AMD delivers full-stack AI solutions that provide the performance and scalability needed for a new era of intelligent computing. Learn more at www.amd.com.

CAUTIONARY STATEMENT

This press release contains forward-looking statements concerning Advanced Micro Devices, Inc. (AMD) such as AI accelerating demand for the full range of AMD silicon, driving AMD’s total addressable market to ~$2 trillion in 2030; compute demand accelerating; the next phase of AI; the features, functionality, performance, availability, timing and expected benefits of AMD products, including, but not limited to, 6th Gen AMD EPYC™ CPUs, AMD Instinct™ MI400 Series GPUs, AMD Helios™ AI rackscale solutions, AMD Ryzen™ AI Embedded X100 processors and the AMD Kria™ AI SOM and Robotics Developer Platform; expected plans, benefits, scalability and deployments with AMD partners including Anthropic, OpenAI, Meta and Cerebras; AMD’s AI infrastructure product roadmaps through 2030; and AMD’s collaboration with AT&T and Cisco, which are made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are commonly identified by words such as "would," "may," "expects," "believes," "plans," "intends," "projects" and other terms with similar meaning. Investors are cautioned that the forward-looking statements in this press release are based on current beliefs, assumptions and expectations, speak only as of the date of this press release and involve risks and uncertainties that could cause actual results to differ materially from current expectations. Such statements are subject to certain known and unknown risks and uncertainties, many of which are difficult to predict and are generally beyond AMD's control, that could cause actual results and other future events to differ materially from those expressed in, or implied or projected by, the forward-looking information and statements. Material factors that could cause actual results to differ materially from current expectations include, without limitation, the following: impact of government actions and regulations such as export regulations, import tariffs, trade protection measures, and licensing requirements; competitive markets in which AMD’s products are sold; the cyclical nature of the semiconductor industry; market conditions of the industries in which AMD products are sold; AMD’s ability to introduce products on a timely basis with expected features and performance levels; loss of a significant customer; economic and market uncertainty; quarterly and seasonal sales patterns; AMD's ability to adequately protect its technology or other intellectual property; unfavorable currency exchange rate fluctuations; ability of third party manufacturers to manufacture AMD's products on a timely basis in sufficient quantities and using competitive technologies; availability of essential equipment, materials, components (such as memory supply), substrates or manufacturing processes; ability to achieve expected manufacturing yields for AMD’s products; AMD's ability to generate revenue from its semi-custom SoC products; potential security vulnerabilities; potential security incidents including IT outages, data loss, data breaches and cyberattacks; uncertainties involving the ordering and shipment of AMD’s products; AMD’s reliance on third-party intellectual property to design and introduce new products; AMD's reliance on third-party companies for design, manufacture and supply of motherboards, software, memory and other computer platform components; AMD's reliance on Microsoft and other software vendors' support to design and develop software to run on AMD’s products; AMD’s reliance on third-party distributors and add-in-board partners; impact of modification or interruption of AMD’s internal business processes and information systems; compatibility of AMD’s products with some or all industry-standard software and hardware; costs related to defective products; failure to maintain an efficient supply chain as customer demand changes; AMD's ability to rely on third party supply-chain logistics functions; AMD’s ability to effectively control sales of its products on the gray market; impact of climate change on AMD’s business; AMD’s ability to realize its deferred tax assets; potential tax liabilities; current and future claims and litigation; impact of environmental laws, conflict minerals related provisions and other laws or regulations; evolving expectations from governments, investors, customers and other stakeholders regarding corporate responsibility matters; issues related to the responsible use of AI; restrictions imposed by agreements governing AMD’s notes, the guarantees of Xilinx’s notes and the revolving credit agreement; AMD’s ability to satisfy financial obligations under guarantees, leases and other commercial commitments; impact of acquisitions, joint ventures and/or investments on AMD’s business and AMD’s ability to integrate acquired businesses; impact of any impairment of the combined company’s assets; political, legal and economic risks and natural disasters; future impairments of technology license purchases; AMD’s ability to attract and retain key employees; and AMD’s stock price volatility. Investors are urged to review in detail the risks and uncertainties in AMD’s Securities and Exchange Commission filings, including but not limited to AMD’s most recent reports on Forms 10-K and 10-Q.

_________________________

1Based on AMD Performance Labs estimates as of July 2026, tokens-per-dollar performance was calculated using the Kimi K2 Thinking workload (32K input / 8K output) on an AMD Helios rackscale solution compared to an NVIDIA Vera Rubin NVL72 rack. Results reflect estimated aggregate throughput across low, medium, and high-interactivity operating points and hourly pricing projection of system GPUs based on market conditions. System configurations may vary by manufacturer and may produce different results. MI400-025
2 EPYC-068 - The AMD EPYC server CPU portfolio spans the industry’s broadest ranges of data center deployments, from general-purpose enterprise, cloud, telecom, SMB, and HPC systems to emerging AI environments including sandboxed agentic AI deployments and GPU head node servers. AMD EPYC 6th Generation platforms extend this breadth by uniquely combining high core and thread density of up to 512 threads, advanced memory bandwidth of up to 16 channels of 12.8 GT/s MRDIMM support, next-generation PCIe® Gen 6 connectivity, and select SKUs with boost frequencies up to 5 GHz.

3 EPYC-025D: As of July 2026, 6th Gen EPYC 9996 has 256 cores and 512 threads with SMT enabled which is higher than any other publicly disclosed 1P CPU
4 9xx6-012: Based on estimated performance data for Nvidia, Intel®, and AMD EPYC™ Server Processors for Agentic AI, the AMD EPYC9996 provides the most agents per rack at a 100Kw power envelope per rack. 
 Compared to the cores per rack of Nvidia Vera (88c) powered server racks: 
 - The AMD EPYC 9996 (256C) provides 2.08x the cores (and threads with SMT) per rack 
- The AMD EPYC 9965 (192C) provides 1.86x the cores (and threads with SMT) per rack 
- The Intel Xeon 6980P (128C) provides 1.24x the cores (and threads with SMT) per rack 
Source: https://www.amd.com/content/dam/amd/en/documents/solutions/ai/methodology-description.pdf  
Agent counts are estimates derived from available CPU thread resources used as a proxy under a consistent theoretical workload. Actual agent capacity and throughput will vary based on workload, model, memory, software, orchestration, and system configuration.

5 9xx6-013: Comparison based on published Top-of-stack core counts and 1Ku pricing for estimated highest Agents / CPU $ and threads / CPU $ AMD EPYC™ 9006 (512 threads), AMD EPYC™ 9005 (384 threads), and Intel® Xeon® 6 (256 threads) SKUs as of 7/22/2026. Threads derived as 2 threads per core (SMT). Intel and Xeon are trademarks of Intel Corporation or its subsidiaries. Source: https://www.amd.com/content/dam/amd/en/documents/solutions/ai/methodology-description.pdf Agent counts are estimates derived from available CPU thread resources used as a proxy under a consistent theoretical workload. Actual agent capacity and throughput will vary based on workload, model, memory, software, orchestration, and system configuration.

6 9xx6-014: Comparison based on published Top-of-stack core counts and CPU W, Default CPU Power for 6th Gen EPYC, and TDPs for 5th Gen EPYC, Intel® Xeon®, and Nvidia Vera for estimated Highest Agents / CPU W across AMD EPYC™ 9956 (400W Default CPU Power), AMD EPYC™ 9965 (500W TDP), Nvidia Vera (450W TDP), ARM AGI (300W TDP), and Intel® Xeon® 6980P (500W TDP) powered servers as of 7/22/2026. 2 threads per core (SMT). 1 thread per core for ARM AGI.
Starting with the 6th Gen AMD EPYC™ server processor family, AMD uses Default CPU Power to describe processor power consumption, succeeding AMD's historical TDP reference. Default CPU Power reflects total power consumed across the processor's compute and I/O dies for the stated performance target. Default CPU Power and TDP may both serve as processor power references for product comparison, platform planning, and performance-per-watt analysis. Agent counts are estimates derived from available CPU thread resources used as a proxy under a consistent theoretical workload. Actual agent capacity and throughput will vary based on workload, model, memory, software, orchestration, and system configuration. Intel Xeon TDP from ark.intel.com. Nvidia Vera TDP from https://developer.nvidia.com/blog/nvidia-vera-cpu-sets-a-new-standard-for-agentic-workloads-in-ai-factories/. ARM AGI Specifications from https://www.arm.com/products/cloud-datacenter/arm-agi-cpu#Specifications

7 MI400-020: Based on measurements and calculations by AMD Performance Labs in July 2026, for the AMD Instinct™ MI455X GPU to determine measured token throughput at high, medium and low interactivity points run on Deepseek V4 Flash with FP4 serving compared to AMD Instinct™ MI355X GPU. System manufacturers may vary configurations, yielding different results.

8 MI350P-007: Based on AMD internal testing (July 2026), on a (1x) AMD Instinct MI350P GPU vs (1x) NVIDIA H200 NVL GPU on the Llama 3.3 70B Instruct (FP8) online serving output-throughput per dollar (tok/s/USD) comparison at ISL/OSL 1024/1024 across concurrency levels 1, 4, 8, 16, 32, 64, 128, 256, 512; median of 3 runs per point. MI350P based server internal AMD estimated pricing as $327,238.40 USD. RTX_PRO_6000 based server public list price reported on OEM website as $265,928.24 USD as of 7/16/2026. Stated results are the peak per-concurrency ratios: MI350P served via AIMS silogenai/aim-instinct-meta-llama-llama-3-3-70b-instruct:0.12.0-rc6; H200 NVL via NVIDIA NIM nvcr.io/nim/meta/llama-3.3-70b-instruct:2.0.6; RTX PRO 6000 via NVIDIA NIM nvcr.io/nim/meta/llama-3.3-70b-instruct:2.0.6. Configuration: 8x AMD Instinct MI350P PCIe Card (CDNA4, gfx950, 128 CUs, 144 GB HBM3E, SPX compute / NPS1), vBIOS 113-350P-01-1K1-000A, GPU driver 6.19.13-2353916.24.04, ROCm 7.14.0 (AMD-SMI 26.5.0); host 2P AMD EPYC 9455 (48-core), Dell PowerEdge XE7745, BIOS 1.7.6, microcode 0xb002162, SMT Enabled, Ubuntu 24.04.4 LTS, Linux 6.8.0-124-generic || NVIDIA RTX PRO 6000: 8x NVIDIA RTX PRO 6000 Blackwell Server Edition, vBIOS 98.02.8D.00.01, GPU driver 595.45.04, CUDA 13.2; host 2P AMD EPYC 9455 (48-core), Dell PowerEdge XE7745, BIOS 1.6.4, microcode 0xb00215a, SMT Enabled, Ubuntu 24.04.4 LTS, Linux 6.8.0-124-generic. Sever manufacturers may vary configurations, yielding different results. Results may vary due to factors including system configurations, software versions and BIOS settings.

Contact: 
Brandi Martina 
 AMD Communications 
(512) 705-1720 
[email protected] 

Liz Stine
AMD Investor Relations
(720) 652-3965
[email protected]

33% more cores, 2X PCIe Bandwidth and 2.6X higher memory bandwidth supercharge high-performance workloads Powered by 6 th Gen AMD EPYC CPUs and AMD Instinct™ GPUs, comprehensive rack-scale systems, built on DCBBS architecture, are optimized for Cloud, Enterprise, Storage, HPC and AI workloads Industry's broadest portfolio also includes the 72-GPU AMD Helios Platform, designed for large-scale AI training and high-throughput inference , /PRNewswire/ -- Super Micro Computer, Inc. (NASDAQ: SMCI), an AI, Enterprise, Storage, and 5G/Edge Total IT Solution Provider featuring Data Center Building Block Solutions® (DCBBS), today announced its next-generation H15 server portfolio powered by 6th Gen AMD EPYC™ 9006 Series CPUs, optimized for next generation GPUs including AMD Instinct™, and connected by AMD Pensando™ networking. With up to 256 cores and 512 threads, H15 systems meet the growing compute demands of cloud, enterprise, storage, high-performance computing (HPC), and agentic AI workloads. With breakthrough 1.7x generational CPU performance improvement1, expanded memory and I/O bandwidth, and industry-leading compute density, customers are now able to run more concurrent AI agents, accelerate enterprise applications, and maximize host-node performance while operating within existing power envelopes.

All-New Supermicro Servers with AMD EPYC 9006 Series CPUs "The latest AMD powered additions to our DCBBS family deliver the next generation of AI infrastructure, optimized for high performance, rapid scalability, and peak efficiency," said Vik Malyala, Chief Business Officer at Supermicro. "Backed by our global services team, resilient U.S. supply chain, and consistent investment in US AI innovation, we continue to help customers deploy and scale AI with confidence."

Learn more about Supermicro's portfolio of AMD servers here, and in this video summary. 

"As enterprises scale agentic AI, they need infrastructure that delivers exceptional performance, efficiency, and flexibility," said Dan McNamara, senior vice president and general manager, Compute and Enterprise AI, AMD. "By combining the latest AMD EPYC CPUs, Instinct GPUs, and AMD Pensando networking with Supermicro's modular server and rack-scale designs, customers can deploy AI infrastructure faster while improving utilization, reducing energy consumption, and lowering total cost of ownership."  

H15 Portfolio Delivers Optimized Infrastructure for Every Workload

The new H15 portfolio includes purpose-built systems optimized for a broad range of enterprise and AI infrastructure deployments:

Hyper – The flagship dual-socket platform engineered for enterprise applications, AI inference, virtualization, and cloud workloads, with advanced thermal design to support the highest-performance AMD EPYC processors. 

CloudDC – A single-socket or dual socket server designed for cloud-scale environments and built on the Open Compute Project (OCP) Data Center Modular Hardware System (DC-MHS) specification for compatibility with open data center standards.

GrandTwin® – A high-density 2U, four-node architecture designed for scale-out environments including object storage, virtualization, cloud services, and high-performance computing.

FlexTwin™ – A 1OU, two-node, high-performance, high-density dual CPU compute system that maximizes compute density and power efficiency for cloud-native and hyperscale deployments using liquid cooling.

Petascale Storage – 1U and 2U high-capacity all-flash storage platforms optimized for software-defined storage-based AI data lakes, large-scale analytics, and HPC environments supporting up to 4.8 PB per system.

SuperBlade® - H15 8U 10 SuperBlade represents next-generation, rack-scale breakthrough architecture for HPC, AI inference, agentic AI, and enterprise-class compute workloads with CPU and GPU. The platform supports both single-socket and dual-socket blade configurations - with both air and liquid-cooled versions optimized for maximum density, high performance, and efficiency, across a wide range of infrastructure deployments.

Expanding AMD GPU-Powered AI Infrastructure

Complementing the H15 server portfolio, Supermicro continues to expand its AMD GPU-powered AI infrastructure with new PCIe GPU servers and the rack-scale Supermicro AMD Helios Platform. As shown at Computex 2026, these solutions provide organizations with flexible deployment options ranging from enterprise AI inference to large-scale AI training.

5U PCIe GPU Servers Powered by AMD Instinct™ MI350P GPUs

The Supermicro AS -5126GS-TNRT and AS -5126GS-TNRT2 are designed to maximize the performance of AMD Instinct MI350P PCIe GPUs. Supporting up to ten GPUs in a standard 5U air-cooled platform, these systems deliver exceptional AI acceleration while operating within existing data center power and cooling infrastructures.

By combining Supermicro's high-density PCIe architecture with AMD Instinct MI350P GPUs featuring up to 144GB of HBM3e memory and support for low-precision AI formats, organizations can accelerate AI inference and training while improving infrastructure efficiency, reducing data center footprint, and lowering total cost of ownership.

Open Ethernet Networking with AMD Pensando™ Pollara 400 AI NIC

The AMD Pensando Pollara 400 AI NIC provides high-performance, open Ethernet networking for AI infrastructure, enabling front-end, storage, and scale-out connectivity for AMD Instinct MI350P-based systems with the high bandwidth, low latency, and efficiency required for AI training and inference. Together, AMD Instinct MI350P GPUs and the AMD Pensando Pollara 400 AI NIC enable customers to build open, high-performance AI clusters that scale from a single server to large multi-rack deployments using standard Ethernet infrastructure.

Supermicro AMD Helios Platform 

For organizations deploying frontier AI models, Supermicro is collaborating with AMD to deliver the Supermicro AMD Helios Platform, a 72-GPU rack-scale solution designed for large-scale AI training and high-throughput inference.

The liquid-cooled platform combines AMD Instinct MI455X GPUs, 6th Gen AMD EPYC processors, AMD Pensando networking technologies, and the AMD ROCm™ software stack to create an open, high-performance AI infrastructure. Supporting deployments of every size, the platform enables customers to scale efficiently while maximizing performance, energy efficiency, and operational flexibility.

Supermicro's DCBBS brings these technologies together as complete, validated AI infrastructure, enabling organizations to deploy solutions ranging from individual servers to fully integrated rack-scale and data center-level systems. With industry-leading design, manufacturing, liquid cooling, networking, software, and global support services, Supermicro continues to help customers accelerate AI adoption while reducing deployment time, improving energy efficiency, and lowering total cost of ownership.

For a detailed product demonstration led by Supermicro experts, be sure to stop by the Supermicro booth at AMD Advancing AI Day 2026, July 22–23, 2026, at Moscone West in San Francisco. Supermicro will also be displaying the densest EPYC 9006 rack implementation with 96 EPYC 9006 CPUs in a 42U rack using the FlexTwin system which will be shown in the AMD display area.

11.7X performance improvement based on SPECInt Rate 2017 results published by AMD.

About Super Micro Computer, Inc. 

Supermicro (NASDAQ: SMCI) is a global leader in Application-Optimized Total IT Solutions. Founded and operating in San Jose, California, Supermicro is committed to delivering first-to-market innovation for Enterprise, Cloud, AI, and 5G Telco/Edge IT Infrastructure. We are a Total IT Solutions provider with server, AI, storage, IoT, switch systems, software, and support services. Supermicro's motherboard, power, and chassis design expertise further enables our development and production, enabling next-generation innovation from cloud to edge for our global customers. Our products are designed and manufactured in-house (in the US, Taiwan, and the Netherlands), leveraging global operations for scale and efficiency and optimized to improve TCO and reduce environmental impact (Green Computing). The award-winning portfolio of Server Building Block Solutions® allows customers to optimize for their exact workload and application by selecting from a broad family of systems built from our flexible and reusable building blocks that support a comprehensive set of form factors, processors, memory, GPUs, storage, networking, power, and cooling solutions (air-conditioned, free air cooling or liquid cooling).

Supermicro, Server Building Block Solutions, and We Keep IT Green are trademarks and/or registered trademarks of Super Micro Computer, Inc.

All other brands, names, and trademarks are the property of their respective owners.

AMD, the AMD Arrow logo, EPYC, AMD Instinct, Pensando, ROCm and the combination thereof are trademarks of Advanced Micro Devices, Inc.

SOURCE Super Micro Computer, Inc.

Key Takeaways Nokia's Q2 comparable EPS beat estimates, while revenues rose 8% but missed expectations.NOK saw AI & Cloud demand drive IP Networks and Optical Networks growth in Network Infrastructure.Nokia kept its 2026 operational outlook, with AI & Cloud demand supporting Network Infrastructure growth. Nokia Corporation (NOK - Free Report) reported mixed second-quarter 2026 results, with the bottom line beating the Zacks Consensus Estimate, but the top line missing the same. The company's top line increased year over year, primarily owing to robust growth in Optical Networks and IP Networks within the Network Infrastructure segment, supported by strong AI & Cloud demand.

NOK's Net IncomeNokia reported a net income of €5 million ($5.8 million) or €0.00 per share in the second quarter against a net income of €96 million or €0.02 per share in the year-ago quarter. Accelerated restructuring charges weighed on reported profits despite higher net sales.

Comparable profit was €414 million ($481.4 million) or €0.07 (8 cents) per share, up from €252 million or €0.04 in the year-earlier quarter. The bottom line beat the Zacks Consensus Estimate of 7 cents.

NOK's RevenuesQuarterly net sales were €4.82 billion ($5.60 billion), up 8% from €4.44 billion in the year-ago quarter. Growth was primarily driven by strength in the Network Infrastructure segment, fueled by robust demand from AI & Cloud customers. However, revenues missed the Zacks Consensus Estimate of $5.62 billion.

Net sales from Network Infrastructure totaled €2.04 billion ($2.37 billion), increasing from €1.83 billion in the year-ago quarter. On a constant currency basis, IP Networks recorded 16% year-over-year growth, supported by strong AI & Cloud demand and robust order intake. Revenues from Optical Networks surged 20% year over year, driven by AI & Cloud and telecom provider demand, particularly in the Americas. Meanwhile, Fixed Networks declined 2% year over year, reflecting lower sales of consumer-premise fiber products as Nokia continued to prioritize higher-margin offerings, partly offset by stronger operator-premise fiber optical line terminal sales.

Mobile Infrastructure generated revenues of €2.68 billion ($3.12 billion), up 6% year over year on a reported basis and 7% on a constant currency basis. Growth was driven by strength in Radio Networks and Technology Standards, while Core Software recorded modest growth.

Net sales from Portfolio Businesses were €94 million ($109.3 million), up 6% year over year on both a reported and constant currency basis. Growth was primarily driven by Site Implementation and Outside Plant, which also supported a significant improvement in profitability during the quarter.

Technology Standards (reported under Mobile Infrastructure) contributed €407 million ($473.1 million) compared with €357 million in the year-ago quarter. Net sales increased 15% on a constant currency basis, driven by licensing agreements signed during the quarter, including a benefit from catch-up net sales.

Region-wise, net sales from the EMEA region increased to €2.06 billion ($2.39 billion) from €1.91 billion in the year-earlier quarter, reflecting broad-based growth across businesses.

Revenues in the APAC region increased to €982 million ($1.14 billion) from €913 million in the year-ago quarter, supported by growth across both Network Infrastructure and Mobile Infrastructure.

The Americas region generated net sales of €1.78 billion ($2.07 billion), up from €1.62 billion in the prior-year quarter, driven by strong demand in AI & Cloud, particularly for Optical Networks and IP Networks.

NOK's Other DetailsIn the June quarter, the comparable gross margin was 46%, up from 45.3% in the year-ago quarter. Comparable operating profit increased 18% year over year to €434 million ($504.5 million). Comparable operating margin expanded to 9% from 8.3% in the year-ago quarter.

NOK's Cash Flow & LiquidityIn the June quarter, Nokia used €620 million ($720.7 million) in net cash from operating activities. Free cash flow was negative €732 million ($850.9 million), primarily due to working capital outflows, restructuring-related cash charges and capital expenditures.

As of June 30, 2026, the company had €4.35 billion ($5.06 billion) in cash and cash equivalents, with long-term interest-bearing liabilities of €1.92 billion ($2.23 billion).

Outlook of NOKFor 2026, Nokia expects comparable operating profit in the range of €2.1-€2.6 billion, reflecting a technical revision from the previous range following the reclassification of two businesses as discontinued operations. Operationally, the company's outlook remains unchanged. Free cash flow conversion is projected at 55-75% of comparable operating profit, while capital expenditure is estimated to be in the range of €800-€900 million.

The company continues to expect Network Infrastructure net sales to grow 12-14% in 2026 on a constant currency and portfolio basis, including 18-20% growth for the combined IP Networks and Optical Networks businesses, supported by sustained demand from AI & Cloud customers.

NOK’s Zacks RankNOK currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Upcoming ReleasesArista Networks Inc. (ANET - Free Report) is scheduled to release second-quarter 2026 earnings on Aug. 8. The Zacks Consensus Estimate for earnings is pegged at 89 cents per share, suggesting growth of 21.92% from the year-ago reported figure.

Arista has a long-term earnings growth expectation of 19.86%. The company delivered an average earnings surprise of 8.31% in the last four reported quarters.

Amphenol Corporation (APH - Free Report) is set to release second-quarter 2026 earnings on July 29. The Zacks Consensus Estimate for earnings is pegged at $1.19 per share, implying growth of 46.91% from the year-ago reported figure.

Amphenol has a long-term earnings growth expectation of 24.01%. The company delivered an average earnings surprise of 14.08% in the last four reported quarters.

Corning Incorporated (GLW - Free Report) is set to release second-quarter 2026 earnings on July 28. The Zacks Consensus Estimate for earnings is pegged at 76 cents per share, implying growth of 26.67% from the year-ago reported figure.

Corning has a long-term earnings growth expectation of 23.89%. The company delivered an average earnings surprise of 2.41% in the last four reported quarters.

Nike is trading at a deep discount to its previous highs, potentially undervaluing future earnings. Management is restructuring the business for sustainable long-term growth.