AMD Acquires ZT Systems to Boost AI & Data Center Strength
AMD, a leading semiconductor company, has announced the completion of its acquisition of ZT Systems, a renowned provider of AI and general-purpose compute infrastructure for the world’s largest hyperscale providers. This strategic move is expected to enable a new class of end-to-end AI solutions, further solidifying AMD’s position in the data center and artificial intelligence (AI) markets.
The acquisition, which was initially announced in November 2022, is expected to be accretive on a non-GAAP basis by the end of 2025. This is a significant milestone for AMD, as it marks a major expansion of its capabilities in the data center and AI spaces.
ZT Systems, a privately-held company, has established itself as a leader in the development of high-performance, scalable computing solutions for hyperscale data centers. Its products and solutions are designed to meet the demanding needs of cloud and AI workloads, and are used by many of the world’s top hyperscale providers.
The acquisition of ZT Systems brings a range of benefits to AMD, including:
- Enhanced AI Capabilities: ZT Systems’ expertise in AI and machine learning (ML) will enable AMD to develop more advanced AI solutions, including those that combine AI and high-performance computing (HPC).
- Expanded Data Center Reach: The acquisition will allow AMD to expand its presence in the data center market, particularly among hyperscale providers, cloud service providers, and enterprise customers.
- Increased Scalability: ZT Systems’ products and solutions are designed to be highly scalable, allowing them to be easily integrated into AMD’s portfolio of data center and AI products.
- Improved Customer Offerings: The acquisition will enable AMD to offer a broader range of products and solutions to its customers, including those that combine AMD’s CPUs and GPUs with ZT Systems’ high-performance computing solutions.
The acquisition is also expected to drive significant growth for AMD, as it expands its presence in the rapidly growing markets of AI and data center computing. The company’s ability to offer a range of high-performance computing solutions, including CPUs, GPUs, and custom silicon, will position it well to capitalize on the growing demand for AI and data center infrastructure.
“This acquisition is a significant milestone for AMD, as it marks a major expansion of our capabilities in the data center and AI spaces,” said Dr. Lisa Su, AMD’s CEO. “ZT Systems’ expertise in AI and high-performance computing will enable us to develop more advanced AI solutions, and expand our reach into new markets. We are excited to welcome ZT Systems’ talented team to AMD, and look forward to working together to drive innovation and growth.”
The acquisition is the latest in a series of strategic moves by AMD to expand its presence in the data center and AI markets. In recent years, the company has made significant investments in these areas, including the development of its EPYC server processors, Ryzen Embedded processors, and Radeon Instinct accelerators.
In conclusion, the acquisition of ZT Systems by AMD is a significant strategic move that is expected to drive growth and innovation in the data center and AI markets. The acquisition will enable AMD to offer a wider range of high-performance computing solutions, expand its reach into new markets, and drive significant growth for the company.
Source: HTTPS://DIGITALTERMINAL.IN/TECH-COMPANIES/AMD-COMPLETES-ACQUISITION-OF-ZT-SYSTEMS-TO-STRENGTHEN-AI-AND-DATA-CENTER-CAPABILITIES
