AMD completes its $4.9 billion acquisition of ZT Systems, will better compete against NVIDIA

AMD has officially closed its $4.9 billion acquisition of ZT Systems, a leading provider of AI infrastructure for the world's largest hyperscale computing companies.

In a new post on X, the company said: "We are excited to welcome the ZT team into the AMD family - they are the best in the industry! The ZT team brings unparalleled choice to our customers with critical systems expertise needed to deliver a full AI solution - from silicon to software to rack and cluster-level solutions".

ZT Systems is an artificial intelligence infrastructure group that will help AMD create a better AI infrastructure, helping get AMD's new Instinct MI300 series AI accelerators into data centers. ZT Systems was founded over 30 years ago, and is a private company that builds custom computing infrastructure for some of the world's biggest AI hyperscalers.

Forrest Norrod, executive vice president and general manager, Data Center Solutions business unit at AMD, said: "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".

He continues: "Acquiring ZT Systems is a significant milestone in our AI strategy to deliver leadership training and inferencing solutions that are optimized for our customers' unique environment, ready-to-deploy at scale, and based on our open ecosystem approach that combines open-source software, industry standard networking technologies and now ZT Systems' leadership systems design and customer enablement expertise. We welcome Frank Zhang, Doug Huang and the talented ZT Systems team to AMD, where together we will offer customers both choice and speed to market, allowing them to invest in key areas where they choose to differentiate their AI offerings".