AMD Buys ZT: Can Expanding AI Footprint Push the Stock Higher?

Advanced Micro Devices (AMD) is strengthening its data center AI footprint with the announced acquisition of ZT Systems for roughly $4.9 billion in cash and stock. The transaction includes a contingent payment of up to $400 million upon achieving certain milestones post-completion. The deal, expected to close in the first half of 2025, will expand AMD’s data center AI footprint. ZT System serves a number of the world’s largest hyperscalers through its AI and general-purpose compute infrastructure offerings. ...