Podcast Summary: On with Kara Swisher - "AMD CEO Lisa Su on AI Chips, Trump's Tariffs and the Magic of Open Source"
Release Date: May 1, 2025
Host: Kara Swisher, Vox Media
Guest: Lisa Su, CEO of Advanced Micro Devices (AMD)
Introduction
In this episode of On with Kara Swisher, host Kara Swisher engages in an in-depth conversation with Lisa Su, the esteemed CEO of AMD. The discussion delves into the pivotal role of semiconductors in the burgeoning AI landscape, the challenges posed by geopolitical tensions such as Trump's tariffs, and the transformative power of open-source initiatives. Throughout the interview, Lisa Su offers candid insights into AMD's strategic maneuvers, the semiconductor industry's future, and the broader implications of AI advancements.
1. Lisa Su's Leadership and AMD's Transformation
[00:00 - 02:32]
Kara Swisher sets the stage by highlighting Lisa Su's remarkable journey at AMD. Taking the helm in 2014 when AMD was teetering on the brink of bankruptcy, Su's leadership has since propelled the company to surpass Intel in market capitalization by 2022. Recognized as Times CEO of the Year, Su is lauded for her straightforward communication style and her status as one of the few female CEOs in the tech sector.
Notable Quote:
Kara Swisher: "She's incredibly qualified for a big job these days." [Timestamp: 02:28]
2. The AI Race and the Importance of Semiconductors
[03:35 - 05:41]
The conversation shifts to the central theme of AI's reliance on advanced hardware. Lisa Su emphasizes that while generative AI models dominate headlines, the true engine driving AI advancements lies in the semiconductor industry. Su reflects on her three-decade-long career in chip design, underscoring the foundational role chips play in today's expansive computing landscape.
Notable Quote:
Lisa Su: "Chips are really sort of the underpinnings of this entire tech community where AI is going." [Timestamp: 04:25]
3. Challenges: Tariffs, Trade Wars, and Export Controls
[07:28 - 16:01]
Lisa Su delves into the multifaceted challenges AMD faces amid geopolitical tensions. The Trump administration's trade policies, including potential tariffs on semiconductors and export controls, present significant hurdles. Su discusses the complexities of managing a supply chain heavily reliant on Taiwan, especially given the heightened tariffs and China's retaliatory measures.
Notable Quote:
Lisa Su: "Semiconductors are now very high priority list on sort of all national agendas." [Timestamp: 08:53]
4. AMD's Strategic Response and Supply Chain Resiliency
[09:53 - 13:14]
In response to these challenges, AMD is focused on supply chain resiliency and diversifying manufacturing capabilities. Su highlights efforts to bring advanced manufacturing back to the United States, citing TSMC's new production site in Arizona as a significant milestone. However, she acknowledges the long-term nature of such transitions, estimating a 5-10 year timeline to achieve substantial domestic manufacturing.
Notable Quote:
Lisa Su: "It's about making long term... to build the best." [Timestamp: 09:25]
5. The CHIPS Act and US Semiconductor Manufacturing
[23:31 - 26:06]
The discussion pivots to the CHIPS Act, a pivotal piece of legislation aimed at revitalizing US semiconductor manufacturing. Although AMD did not directly benefit from the Act, Su expresses strong support for the initiative, recognizing it as a catalyst for bringing advanced manufacturing stateside. She cites TSMC's commitment to Arizona as evidence of the Act's positive impact, while also emphasizing the need for increased investment to meet global demands.
Notable Quote:
Lisa Su: "We didn't benefit directly from the CHIPS Act... but I'm a big believer in US Manufacturing." [Timestamp: 24:03]
6. Open Source and AI Collaboration
[19:47 - 20:43]
Su underscores the significance of open-source models in democratizing AI technology. Referencing DeepSeq's open-source model, she illustrates how collaborative efforts accelerate innovation, allowing research groups worldwide to build upon existing advancements. This openness fosters a dynamic ecosystem where constraints lead to creative engineering solutions.
Notable Quote:
Lisa Su: "We saw the power of open source. It allows people to collaborate on a problem." [Timestamp: 19:47]
7. Data Centers and AI Accelerators
[27:17 - 33:03]
AMD's strategic expansion into data centers and AI accelerators is explored, highlighting the acquisition of ZT Systems for $5 billion. Su explains that AI accelerators, particularly GPUs, are foundational for training large AI models. By offering an open ecosystem akin to Android's flexibility compared to Apple's closed system, AMD positions itself as a versatile partner for diverse computing needs.
Notable Quote:
Lisa Su: "You're going to see AI everywhere... AI in the cloud, AI in the enterprise, AI at the edge." [Timestamp: 28:18]
8. R&D, University Research, and Skilled Immigration
[37:37 - 42:06]
Addressing the importance of research and development, Su advocates for robust university-led research and public-private partnerships. She highlights AMD's contributions, such as providing GPUs to universities, to foster innovation and maintain a steady pipeline of talent. Additionally, Su emphasizes the critical role of skilled immigration in sustaining the tech industry's leadership, lamenting policies that hinder the influx of top global talent.
Notable Quote:
Lisa Su: "I think the private sector does have to do more... ensuring a good pipeline of students." [Timestamp: 38:37]
9. The Role of Tech CEOs in Public Discourse
[42:06 - 46:37]
Su reflects on the responsibilities of tech CEOs in navigating public policy and national security issues. She stresses the importance of authentic engagement without being overtly polarizing, focusing primarily on educating policymakers about the intricacies of the semiconductor industry. Su advocates for a balanced approach that preserves technological competitiveness while addressing national security concerns.
Notable Quote:
Lisa Su: "As tech CEOs, we do have a responsibility to speak out, but it has to be authentic." [Timestamp: 43:02]
10. Future Outlook and Vision for AI
[47:03 - 52:07]
Looking ahead, Su expresses optimism about AI's transformative potential, viewing it as a decade-long evolution. She cautions against getting bogged down by short-term predictions or "bubble" concerns, emphasizing that the current AI capabilities are just the beginning. Su envisions AI as a catalyst for accelerating research, enhancing productivity, and improving lives globally, all while maintaining a focus on responsible innovation.
Notable Quotes:
Lisa Su: "We are two years into a 10-year arc... AI is a piece of a larger story of how do we use tech to make the lives of billions better." [Timestamp: 49:04]
Lisa Su: "AI can really accelerate the rate and pace of research beyond what we're thinking about today." [Timestamp: 50:40]
Conclusion
In this illuminating episode, Lisa Su provides a comprehensive overview of AMD's strategic positioning within the semiconductor and AI sectors. Her insights into navigating geopolitical challenges, fostering innovation through open-source collaboration, and advocating for public-private partnerships underscore AMD's commitment to driving technological advancement. Su's forward-thinking vision highlights the crucial role of semiconductors in shaping the future of AI and emphasizes the importance of resilience, adaptability, and ethical leadership in the tech industry.
Closing Quote:
Lisa Su: "If you make a difference, that should show up in your market cap over time." [Timestamp: 48:36]
Production Credits:
Produced by Christian Castro, Roselle, Kateri Yocum, Dave Shaw, Megan Burney, Megan Cunane, and Kalyn Lynch. Executive Producer: Nishat Kurwa. Special Thanks: Clare Cronin and Eric Litke. Engineering: Rick Kwan and Fernando Arruda. Theme Music: Trackademics.
Listen More:
For those interested in exploring further discussions on AI policy, copyright, intellectual property, and more, On with Kara Swisher continues to deliver insightful conversations weekly from the Johns Hopkins University Bloomberg Center.