AMD: How Innovation and Partnerships Advance Corporate Responsibility

AMD today released its annual Corporate Responsibility (CR) Report, detailing progress toward goals spanning  environmental sustainability; digital impact; supply chain responsibility; and diversity, belonging  and inclusion. For 28 years AMD has reported on its CR programs and initiatives, and this is the  company’s first report incorporating environmental and social data from recent acquisitions.

“At AMD, Corporate Responsibility is an integral part of our business strategy, culture and  the relationships we foster with our customers and partners,” said Susan Moore, corporate vice  president of Corporate Responsibility and International Government Affairs at AMD and  president of the AMD Foundation. “Together with our employees, partners and customers, we  are focused on responsibly designing and delivering high-performance and adaptive computing  solutions for a more connected, sustainable and inclusive world.”

AMD conducted a new environmental, social and governance (ESG) materiality  assessment1in 2023 to determine its most important issues in corporate responsibility based on  their potential impact on the business and the potential impact the business has on society and  the environment, known as “double materiality.” The assessment reaffirmed existing focus  areas, including topics such as product energy efficiency; diversity, belonging and inclusion;  responsible sourcing; and human rights in the supply chain. Responsible artificial intelligence  (AI) and product use emerged as new issues with high impact on both AMD and society. AI is  an immense opportunity that comes with unique challenges, and AMD is committed to working  with the industry to innovate and deploy AI for good while reducing risks.

Key highlights from this year’s report include:

• Accelerating sustainable computing: Semiconductors have an important role to  play in the global response to the climate crisis, powering critical research and enabling more energy-efficient devices. As the demand for compute-intensive

workloads like AI and high performance computing (HPC) accelerates, processor  energy consumption is of critical importance. AMD prioritizes innovations that  improve both performance and environmental sustainability through its goal to deliver  30x energy efficiency improvement in processors and accelerators for AI-training and  HPC by 2025.2 For 2023, AMD is on track toward achieving 13.5x improvement from  the 2020 base year using a configuration of four AMD Instinct™ MI300A APUs launching later this year.3

• Addressing greenhouse gas emissions: AMD also aims to address climate  change by reducing greenhouse gas (GHG) emissions across its operations and  collaborating with direct manufacturing suppliers and customers. In 2022, AMD  achieved a 19% reduction in Scope 1 and 2 emissions compared to 2020.4 Aligned

with AMD goals, 70% of the company’s direct manufacturing suppliers5 have public  greenhouse gas emissions targets and 68% sourced renewable energy in 2022.6 AMD was again recognized as a CDP Supplier Engagement Leader for related goals  and governance, landing in the top 8% of respondents.

• Partnering across the value chain: AMD works with suppliers, partners and peers  to address environmental sustainability and human rights issues across the

semiconductor value chain as a founding member of the Semiconductor Climate  Consortium and Responsible Business Alliance’s Senior Environmental Advisory  Taskforce. In 2023, AMD also completed its first Human Rights Saliency Assessment to enhance its human rights strategy.

• Advancing representation and STEM education: AMD wants to go beyond  representation to lead the fabless semiconductor industry in inclusion and developing underrepresented talent such as women in engineering roles. Importantly, retention  of female engineers remains strong at the company, and 92% of global employees  say AMD creates an environment where people of diverse backgrounds can

succeed. AMD is also passionate about enabling the next generation of innovators and continues to invest in STEM education through partnerships with universities, K 12 educators and nonprofit organizations.

AMD prepared the 2022-23 Corporate Responsibility Report in accordance with the Global  Reporting Initiative (GRI) Standards (2021). In addition, the report includes climate-related  disclosures included in the recommendations of the Taskforce on Climate-Related Financial Disclosures (TCFD) as well as relevant disclosures in applicable Sustainability Accounting  Standards Board (SASB) Standards.