AMD Acquires ZT Systems to Boost AI & Data Center Strength
In a move aimed at bolstering its presence in the artificial intelligence (AI) and data center markets, AMD has completed its acquisition of ZT Systems, a leading provider of AI and general-purpose compute infrastructure for the world’s largest hyperscale providers. The acquisition is expected to enable a new class of end-to-end AI solutions, further solidifying AMD’s position as a key player in the industry.
The deal, which was first announced in October 2022, is expected to be accretive on a non-GAAP basis by the end of 2025. With this acquisition, AMD gains access to ZT Systems’ extensive portfolio of products and technologies, including its high-performance computing solutions, data center infrastructure, and AI-specific offerings.
For AMD, the acquisition represents a significant strategic boost to its AI and data center capabilities. The company has been aggressively pursuing growth in these areas, and the addition of ZT Systems’ expertise and technologies is expected to accelerate its progress.
“ZT Systems is a highly respected leader in the AI and data center markets, and we are thrilled to welcome their team to AMD,” said Lisa Su, AMD’s CEO. “This acquisition will enable us to deliver a new class of end-to-end AI solutions that will help our customers accelerate their AI initiatives and drive business success.”
ZT Systems, founded in 1996, has established itself as a trusted provider of high-performance computing solutions to the world’s largest hyperscale providers, including major cloud computing companies, social media platforms, and online services. The company’s products and technologies are designed to meet the demanding requirements of these customers, including high-performance computing, low latency, and high availability.
The acquisition is also expected to bring significant benefits to ZT Systems’ customers, including access to AMD’s extensive portfolio of CPU, GPU, and FPGA products, as well as its broad ecosystem of software and tools. This will enable ZT Systems’ customers to leverage AMD’s technology expertise to accelerate their AI and data center initiatives.
“ZT Systems has a long history of delivering innovative solutions to the world’s largest hyperscale providers, and we are excited to join forces with AMD to drive even greater success in the AI and data center markets,” said Steve Helmbuch, CEO of ZT Systems.
The acquisition is not only expected to benefit AMD and ZT Systems, but also the broader industry. The combination of AMD’s technology expertise and ZT Systems’ extensive portfolio of products and technologies is expected to drive innovation and accelerate the adoption of AI and data center solutions.
In recent years, the AI and data center markets have experienced rapid growth, driven by the increasing demand for cloud computing, big data analytics, and machine learning. As a result, companies like AMD and ZT Systems have been aggressively pursuing growth in these areas, through a combination of organic innovation and strategic acquisitions.
The acquisition of ZT Systems is just the latest example of AMD’s commitment to driving growth in the AI and data center markets. In recent years, the company has made significant investments in these areas, including the development of new products and technologies, as well as strategic partnerships and acquisitions.
In conclusion, the acquisition of ZT Systems by AMD represents a significant strategic boost to the company’s AI and data center capabilities. The combination of AMD’s technology expertise and ZT Systems’ extensive portfolio of products and technologies is expected to drive innovation and accelerate the adoption of AI and data center solutions. With this acquisition, AMD is well-positioned to continue to drive growth and success in the AI and data center markets.
