Advanced Micro Devices (AMD) has announced its plan to acquire ZT Systems in a $4.9 billion cash-and-stock deal, aiming to bolster its artificial intelligence (AI) capabilities. According to reports, this acquisition is designed to enhance AMD's position in the competitive AI market and challenge Nvidia's dominance.
ZT Systems, located in Secaucus, New Jersey, specializes in data center and storage infrastructure systems. As part of the acquisition, AMD intends to integrate ZT Systems into its Data Center Solutions Business Group but will also look to divest its U.S.-based data center infrastructure manufacturing business, a press release by the company said.
