AMD is strategically focusing on the mainstream and mid-range gaming GPU market, aiming to capture 40%-50% market share. This shift away from directly competing with Nvidia’s high-end GPUs is a strategic move to build scale and challenge Nvidia’s dominance in the gaming sector. AMD’s recent acquisition of ZT Systems and hiring of Keith Strier, previously responsible for Nvidia’s foreign government engagements, further underscores its focus on AI and expanding its market presence.