Sanmina Acquires ZT Systems’ Manufacturing Arm for $3B
Slice of Manufacturing Team
May 27, 2025
Key highlights
- Sanmina to acquire ZT Systems' data center manufacturing business for up to $3B
- Enhances Sanmina’s Cloud and AI infrastructure capabilities and global reach
- ZT Systems' $5-6B revenue run-rate adds scale and strategic value
- Strategic partnership formed with AMD for AI system manufacturing
- Transaction expected to close by end of 2025
Notable Quotes
“ Combining Sanmina's global expertise and vertical integration capabilities with ZT Systems' high-quality manufacturing capacity in the U.S. and Europe and extensive experience with critical Cloud and AI infrastructure for hyperscalers will give us enhanced scale and deepen our customer relationships. ”
Jure Sola, Chairman and CEO at Sanmina Corporation
“ This agreement will help accelerate the U.S.-based manufacturing of AMD AI end-to-end training and inference solutions... Together, we will accelerate time-to-market and set the standard for quality and flexibility to benefit the entire AI ecosystem. ”
Forrest Norrod, EVP and GM, Data Center Solutions at AMD
Why This Matters
This acquisition marks a pivotal move for Sanmina, dramatically expanding its presence in the high-growth Cloud and AI infrastructure markets. By integrating ZT Systems’ advanced manufacturing capabilities and deep hyperscaler relationships, Sanmina not only doubles its revenue potential but also reinforces its position as a comprehensive, end-to-end solutions provider. The strategic partnership with AMD further amplifies its innovation pipeline, enabling faster, U.S.-based deployment of next-generation AI systems—an increasingly vital capability amid global supply chain shifts and the exponential rise in AI demand.
