AMD strikes a deal to sell ZT Systems’ server-manufacturing business for $3B

The semiconductor giant AMD ZT has followed the plan to spin out the server-production business of the system.

AMD announcement It is selling the Server-Production business of the ZT system on Monday to the electronic manufacturing service company Sunmina. 3 billion dollar contracts are a mixture of cash and stock: $ 2.25 billion in cash; A 300 million dollar premium with 50% cash and 50% equity; And pay a $ 450 million undisturbed payment on the basis of financial performance in the next three years, According to ReutersThe

The agreement is expected to be closed by the end of 2021, subject to regulatory approval. After this division, the AMD ZT will maintain the control of the Rack-scale AI Solutions Design business of the system.

This announcement is not a push. When AMD ZT has announced the intention of achieving systemsThe AI ​​and the Cloud infrastructure agency, in August 2021, said the company in exchange for $ 1.8 billion said that the deal was planned to divest that part of the ZT system business after the official closed. According to Reuters, the AMD ZT system acquisition was officially closed in March 2021.

In addition to this announcement, AMD says that Sunmina AMD Cloud Rack and Cluster-Scale will become part of a “desired” new product identity for AI solutions.

“With our new desired NPI partnership with Sunmina, with a combination of deep experience of our AI system design team, we hope to strengthen our US-based manufacturing capacity for the Rack and Cluster-Scale AI system and will accelerate the quality and time-market for our cloud-to-market,” the Foreign Unit, the Foreign Unit, the Foreign Unit.

TechCrunch reached AMD for comment.