EL7.AI
StocksMediumUpdated×2•Originally published 16 June 2026•Updated 16 June 2026•
1 min read

AMD Bolsters AI Capabilities with MEXT Acquisition and Major Rackspace Partnership

Server rack with AMD processors and a Rackspace logo in front of a 30MW power gauge and technical documents.

Key Facts

1AMD and Rackspace Technology signed a definitive agreement for the phased deployment of 30 MW of AMD-based compute capacity.

In a strategic move to solidify its position in the AI infrastructure market, AMD has announced the acquisition of MEXT to address critical memory performance bottlenecks in data centers. Simultaneously, the company entered a definitive agreement with Rackspace Technology to deploy 30 MW of AMD-based compute capacity. According to reports, this phased deployment is scheduled to commence in late 2026 and continue through 2028, targeting global enterprise AI solutions.

This acquisition comes as AMD seeks to close the gap with industry peers, with NVDA trading at $212.45 and INTC at $127.86 per market data (close June 15, 2026). By integrating MEXT’s technology, AMD aims to optimize large-scale data processing, a segment where it competes fiercely with TSM, which closed at $441.40. Analysts suggest that resolving memory constraints is pivotal for AMD to capture a larger share of future high-performance computing contracts.

Investors are closely watching AMD, which closed at $547.26, and RXT at $5.92 (close June 15, 2026) following these expansionary moves. Looking ahead, the market awaits US Existing Home Sales data and Atlanta Fed GDPNow estimates later this week, which serve as broader catalysts that could influence risk sentiment across the semiconductor sector.