As a leading global semiconductor company, AMD prepares for the October launch of its Instinct MI325X chip, the U.S. chip giant is reportedly facing challenges with its laptop OEM partners, resulting in poor execution and strained relationships, according to a report by Tom’s Hardware.

Citing AC Analysis, the report highlights the growing tension between AMD and its OEMs, rooted in AMD's strategy of prioritizing enterprise chips over consumer products. OEMs have expressed frustration over “miscommunication, unfulfilled promises, and poor treatment,” likening the situation to Intel's behavior during its peak years.

Interestingly, these issues align with AMD CEO Lisa Su's recent statement that AMD is now a “data center-first company,” as data center revenue accounted for over 50% of the company’s total revenue last quarter.

A separate report from ComputerBase notes that AMD continues to struggle with longstanding challenges, such as supply chain issues that have delayed the release of new Strix Point laptops. One source even suggested that AMD has potentially missed out on billions of dollars over the years due to poor execution with partners.

Despite consumer interest, Tom’s Hardware notes that OEMs' response to AMD’s Strix Point chips has been lukewarm. For instance, BestBuy currently offers only three brands with AMD’s latest chips: Asus, HP, and MSI. HP and MSI each have one model, while Asus offers 13 models featuring the AMD Ryzen AI 300 series chip.

In contrast, Qualcomm’s recent entry into the laptop market with its Snapdragon X processor has generated significant enthusiasm among both the public and manufacturers. Seven brands have already launched 12 models featuring the new Arm-based chip.

AMD also lags behind Intel, which continues to dominate the laptop market despite recent challenges. Intel’s Lunar Lake, built on TSMC's 3nm process, is expected to power over 80 new laptop designs across more than 20 OEMs, delivering AI-enhanced performance for Copilot+ PCs.