Rackspace Technology (NASDAQ:RXT) shares surged 30% on Tuesday after the company announced a definitive agreement with AMD (NASDAQ:AMD) to deploy 30 megawatts of AI computing infrastructure powered by AMD technology.
The deal formalizes the Memorandum of Understanding the two companies unveiled on May 7, 2026, and establishes AMD as a key strategic technology partner within Rackspace's managed artificial intelligence platform.
Under the agreement, the infrastructure rollout will take place in phases across Rackspace's worldwide data center network beginning in late 2026 and continuing through 2028.
The deployment is expected to significantly expand Rackspace's AI computing capabilities as enterprises increase investment in large-scale artificial intelligence applications and data-intensive workloads.
The platform will be built around AMD's latest AI and data center technologies, including Instinct MI355X and MI350P graphics processing units, alongside AMD EPYC central processing units.
The deal formalizes the Memorandum of Understanding the two companies unveiled on May 7, 2026, and establishes AMD as a key strategic technology partner within Rackspace's managed artificial intelligence platform.
Under the agreement, the infrastructure rollout will take place in phases across Rackspace's worldwide data center network beginning in late 2026 and continuing through 2028.
The deployment is expected to significantly expand Rackspace's AI computing capabilities as enterprises increase investment in large-scale artificial intelligence applications and data-intensive workloads.
The platform will be built around AMD's latest AI and data center technologies, including Instinct MI355X and MI350P graphics processing units, alongside AMD EPYC central processing units.
3 months ago
