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April 1, 2025

AMD Completes Acquisition of ZT Systems

Summary

AMD has completed its acquisition of ZT Systems, a provider of Artificial Intelligence (AI) and general-purpose compute infrastructure for hyperscale providers. This strategic move is aimed at enhancing AMD's capabilities in AI solutions by integrating its Central Processing Unit (CPU), Graphics Processing Unit (GPU), and networking silicon with open-source software, leading to advancements in data center AI infrastructure.

The acquisition is expected to be accretive on a non-GAAP basis by the end of 2025. ZT Systems will be integrated into AMD's Data Center Solutions business unit, which is led by Executive Vice President Forrest Norrod. AMD is also exploring partnerships for the divestiture of ZT Systems’ U.S.-based data center manufacturing business.

Forrest Norrod commented, “With the rapid pace of innovation in AI, reducing the end-to-end design and deployment time of cluster-level data center AI systems will be a significant competitive advantage for our customers. Acquiring ZT Systems is a milestone in our AI strategy to deliver leadership training and inferencing solutions optimized for our customers' needs.”

Frank Zhang, former CEO of ZT Systems, will join AMD as senior vice president of ZT Manufacturing, assisting with the divestiture of the manufacturing business. Meanwhile, Doug Huang, former president at ZT, takes on the role of senior vice president of Data Center Platform Engineering.

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