AMD (NASDAQ: AMD) today announced the completion of its acquisition of ZT Systems, a leading provider of general-purpose computing and Artificial Intelligence infrastructure for the world’s major hyperscale operators. This strategic move significantly enhances AMD’s ability to deliver comprehensive AI solutions by combining its CPU, GPU, and networking technologies with the open-source AMD ROCm™ software and rack-scale system capabilities.
With this acquisition, AMD aims to accelerate the design and deployment of optimized cloud AI infrastructures, leveraging ZT Systems’ expertise in system design and customer support. Additionally, the acquisition is expected to be financially beneficial (non-GAAP) for AMD before the end of 2025.
Forrest Norrod, executive vice president and general manager of AMD’s Datacenter Solutions business unit, stated:
“With the rapid advancement of innovation in AI, reducing the design and implementation time of cluster-level AI systems will be a key competitive advantage for our customers. The acquisition of ZT Systems marks an important milestone in our AI strategy, allowing us to deliver ready-to-deploy solutions tailored to each customer’s specific environments, supported by an open ecosystem that combines open-source software, industry-standard networking technologies, and now ZT’s expertise in system design and customer support.”
As part of the integration, ZT Systems’ design teams will join AMD’s Datacenter Solutions unit. Additionally, AMD has confirmed it is in strategic discussions with potential partners to acquire the datacenter infrastructure manufacturing business that ZT Systems has in the United States, with plans to close that deal in 2025.
Frank Zhang, founder and former CEO of ZT Systems, is joining AMD as senior vice president of ZT Manufacturing, reporting directly to Forrest Norrod. He will focus on leading the divestiture process of the manufacturing business. Meanwhile, Doug Huang, former president of ZT Systems, will take on the role of senior vice president of Platform Engineering for Datacenters, also under Norrod’s direction. In his new role, Huang will lead the design and customer support teams, working closely with AMD’s Datacenter and AI divisions to accelerate the time-to-market of its AI solutions.
With this acquisition, AMD strengthens its positioning in the AI market, aiming to provide its customers with greater flexibility, speed, and adaptability in deploying critical infrastructures for the computing of the future.