AMD Acquires ZT Systems to Boost AI & Data Center Strength
The tech industry has witnessed a significant development with AMD (Advanced Micro Devices) announcing the completion of its acquisition of ZT Systems, a leading provider of AI and general-purpose compute infrastructure for the world’s largest hyperscale providers. This strategic move is expected to enable AMD to strengthen its position in the AI and data center markets, offering a new class of end-to-end AI solutions.
ZT Systems, a pioneer in the field of AI infrastructure, has been a trusted partner for many leading hyperscale providers, including cloud giants and data center operators. With its expertise in designing and building high-performance, energy-efficient infrastructure for AI and general-purpose computing, ZT Systems has established itself as a go-to solution provider for the world’s largest data centers.
The acquisition of ZT Systems is a significant step forward for AMD, as it will enable the company to expand its portfolio of AI and data center offerings. By combining its own expertise in CPU and GPU technologies with ZT Systems’ capabilities in designing and building high-performance infrastructure, AMD will be able to offer a broader range of solutions to its customers.
“The acquisition of ZT Systems is a major milestone for AMD, as it marks a significant expansion of our presence in the AI and data center markets,” said AMD CEO, Lisa Su. “With ZT Systems’ expertise and technology, we will be able to offer our customers a new class of end-to-end AI solutions that will help them accelerate their AI and data analytics initiatives.”
The acquisition is expected to be accretive on a non-GAAP basis by the end of 2025, according to AMD. The company plans to leverage ZT Systems’ technology and expertise to develop new products and solutions that will help its customers accelerate their AI and data analytics initiatives.
ZT Systems’ technology and solutions are designed to help customers accelerate their AI and data analytics initiatives by providing high-performance, energy-efficient infrastructure. The company’s products and solutions are built around its proprietary ZTONE architecture, which is designed to provide high-performance, low-latency computing for AI and data analytics workloads.
The acquisition of ZT Systems is expected to be a significant growth driver for AMD, as it will enable the company to expand its presence in the rapidly growing AI and data center markets. The global AI market is expected to reach $190 billion by 2025, growing at a compound annual growth rate (CAGR) of 38.1% from 2020 to 2025, according to a report by MarketsandMarkets.
Similarly, the global data center market is expected to reach $135 billion by 2025, growing at a CAGR of 12.3% from 2020 to 2025, according to a report by MarketsandMarkets.
In conclusion, the acquisition of ZT Systems by AMD is a significant development in the tech industry, as it will enable the company to strengthen its position in the AI and data center markets. The acquisition is expected to be accretive on a non-GAAP basis by the end of 2025 and will enable AMD to offer a new class of end-to-end AI solutions to its customers.
