AMD Completes Acquisition of ZT Systems

Strategic transaction combines industry-leading systems and rack-level expertise with AMD Graphics Processing Unit (GPU), Central Processing Unit (CPU) and networking silicon and open-source software to address the $500 billion data center Artificial Intelligence (AI) accelerator opportunity in 2028.

AMD today announced the completion of its acquisition of ZT Systems, a provider of AI and general-purpose compute infrastructure for hyperscale providers. The acquisition will enable new end-to-end AI solutions that leverage AMD's CPU, GPU, networking technologies, and open-source software. This initiative is expected to expedite the design and deployment of AMD-powered AI infrastructure at scale.

AMD anticipates that the transaction will be accretive on a non-GAAP basis by the end of 2025. Teams from ZT Systems will join the AMD Data Center Solutions division, led by AMD executive Forrest Norrod. AMD is also engaging with potential partners to acquire ZT Systems' U.S.-based data center infrastructure manufacturing business in 2025.

“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,” said Forrest Norrod, executive vice president of the Data Center Solutions unit at AMD. He emphasized that the acquisition is a milestone in AMD's AI strategy, aiming to deliver training and inferencing solutions that are optimized for unique customer environments and ready for scale deployments.

Former ZT Systems Founder and CEO Frank Zhang will become senior vice president of ZT Manufacturing at AMD, focusing on managing the divestiture of the manufacturing business. Doug Huang, former ZT Systems President, will serve as senior vice president of Data Center Platform Engineering, leading customer enablement and design teams.