Strategic transaction combines industry-leading systems and rack-level expertise with AMD GPU, 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. This acquisition will enable a new class of end-to-end AI solutions that leverage AMD CPU, GPU and networking silicon, open-source AMD ROCm software, and rack-scale systems capabilities. Thus, it aims to enhance the design and deployment of AMD-powered AI infrastructure at scale optimized for cloud platforms.

AMD anticipates the transaction will be accretive on a non-GAAP basis by the end of 2025. The teams from ZT Systems will integrate into the AMD Data Center Solutions business unit led by Forrest Norrod. AMD is also pursuing strategic partners to acquire ZT Systems’ 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 competitive advantage for our customers,” said Forrest Norrod, executive vice president and general manager, Data Center Solutions business unit at AMD. “Acquiring ZT Systems is a milestone in our AI strategy to deliver training and inferencing solutions optimized for our customers’ environments and ready to deploy at scale.”

Frank Zhang, former ZT Systems Founder and CEO, will join AMD as senior vice president of ZT Manufacturing, and Doug Huang, former President of ZT Systems, will serve as senior vice president of Data Center Platform Engineering.