AMD Buys ZT Systems, Chasing On-Prem AI Infrastructure Opportunities

ZT Systems will give AMD the system design capabilities to drive on-premises AI infrastructure and data center development.
By Larry Walsh
Chipmaker Advanced Micro Devices (AMD) is acquiring ZT Systems, a data center designer and server manufacturer, in a strategic move to enhance its capabilities in AI infrastructure development. This acquisition is clearly aimed at strengthening AMD’s competitive position against rival Nvidia, a dominant player in artificial intelligence. Notably, the deal also underscores AMD’s belief that advanced AI systems will increasingly be deployed on-premises.
AMD is paying $5 billion for the New Jersey-based company, which specializes in designing servers, rackmounts, and other data center infrastructure. ZT Systems offers a value proposition by creating blueprints for advanced data center systems that power cloud computing and artificial intelligence. The de...