AMD Commits $250 Million to Nutanix Partnership for Enterprise AI Infrastructure Platform

AMD puts $250 million into Nutanix to speed AI adoption

The VMware refugees have started to arrive, but so have supply chain woes AMD has struck another chips'n'stock deal, this time with software-defined datacenter player Nutanix. The deal means AMD will acquire $150 million worth of Nutanix stock and also fund up to $100 million of joint engineering work and go-to-market efforts for a new "full-stack AI infrastructure platform" that will use Nutanix's stack to allow agentic and inferencing applications to run in the many on-prem, cloudy, and edge environments it supports. Nutanix currently supports only Nvidia GPUs. This new deal means it will support AMD accelerators, too, making this a bet by AMD that Nutanix can generate more demand for its hardware. "Our goal is to provide customer choice," Nutanix CEO Rajiv Ramaswami told The Register. "Nvidia has been the market leader and AMD is the other big platform company." Ramaswami said agentic AI adoption is still at a "very early stage" within enterprises, but said Nutanix hopes to speed things up a bit by tuning its stack so it can host this class of applications wherever customers want to run them. Nutanix revealed its new ties to AMD after first announcing its Q2 results, which saw revenue grow ten percent year-over-year to reach $723 million. The company has long preferred to use annual recurring revenue as its top-line indicator, to demonstrate the strength of its subscription business, and that grew 16 percent to $2.36 billion. Ramaswami said the company signed 1,000 new customers in the quarter, and that most intend to migrate away from VMware. "We see a lot of that happening now," he said. "People do not necessarily see Broadcom as a long-term partner." IBM used its earnings announcement to rrveal that Red Hat has signed $500 million worth of deals for its virtualization portfolio in the last two years. Ramaswami said Nutanix believes Red Hat is definitely a competitor, but that as its virtualization platform relies on Kubernetes that makes migrations more complex than moving from VMware to Nutanix. "We have not seen many successful migrations from VMware to Red Hat," he said. Ramaswami offered investors a new take on component shortages by saying the availability of CPUs, not memory, has been Nutanix's biggest concern. "This is driving higher prices and lengthening lead times for servers," he told investors. "Thus far, longer lead times largely driven by lack of CPU availability have been a significantly bigger challenge for us than pricing." Memory shortages are now starting to bite. "Through the latter half of Q2, we began to see that the challenging supply environment for CPUs, memory, storage and other components is delaying our customers' ability to procure servers from our hardware partners in order to run our software," the CEO said. "We did not see this as a meaningful driver of our results in our fiscal Q1 ... later in Q2, we did start to see it become more pronounced to a greater extent than anticipated, and expect it to continue through the rest of the fiscal year." That's a problem for Nutanix because the company can't recognize some revenue for software sales until customers' hardware arrives. The company therefore reduced its revenue guidance for the full year from between $2.82 and $2.86 billion to between $2.80 and $2.84 billion. Investors clearly liked something about either Nutanix's results or AMD tie-up, because they sent the company's shares up by almost 20 percent in after-hours trading. ®

AMD to Buy $150 Million of Nutanix Stock in New Partnership

Advanced Micro Devices Inc. will buy $150 million in Nutanix Inc. stock as part of a new partnership that also includes joint engineering and sales efforts. The chipmaker will additionally give Nutanix up to $100 million to fund the joint initiatives, which are meant to develop and sell an infrastructure platform for powering AI applications, according to a person who asked not to be identified because the plans are private. Neither company provided comment. San Jose, California-based Nutanix sells software that helps companies manage their information technology infrastructure, including data center servers and systems in the cloud. It has existing partnerships with major semiconductor makers such as AMD, Intel Corp. and Nvidia Corp. to offer software on servers alongside chips. Like many software peers, Nutanix has seen a sharp selloff of its shares in recent months. The market anxiety is fueled by the idea that incumbent software makers could be disrupted by AI's easier development of competitive tools. Earlier this week, AMD struck a major partnership with Meta Platforms Inc. to supply the social media company with a massive amount of AI chips. The deal follows a similar agreement with OpenAI in October.

Nutanix rallies on strong quarter and AMD investment as Everpure tops estimates - SiliconANGLE

Nutanix rallies on strong quarter and AMD investment as Everpure tops estimates Shares in Nutanix Inc. and Everpure Inc. (formerly Pure Storage Inc.) were up in late trading today as both impressed investors with earnings beats in their respective quarters, with Nutanix also announcing a new enterprise artificial intelligence deal with Advanced Micro Devices Inc. For its fiscal second quarter that ended on Jan. 31, Nutanix reported adjusted earnings per share of 56 cents per share and revenue of $722.8 million, the latter up 10% year-over-year. Both figures were ahead of the 44 cents per share and revenue of $710.35 million expected by analysts. The strong figures were due to customer growth, with Nutanix reporting annual recurring revenue sitting at $2.36 billion as of the end of January, up 16% year-over-year. The big story of the day, however, was Nutanix's new deal with AMD. The multi-year strategic partnership with see both companies jointly develop an open, full-stack AI infrastructure platform designed to power agentic AI applications everywhere. The agreement also aligns both companies to an open ecosystem for AI that will offer customers choice and easy-to-deploy, production-ready, high-performance solutions that are optimized for agentic AI at the edge, inside enterprises and across the cloud. As part of the partnership, AMD will invest and fund up to $250 million in Nutanix shares and research and development and go-to-market for integrated solutions. The $250 million commitment consists of AMD buying $150 million in Nutanix common stock at $36.26 per share, with the remaining $100 million going to Nutanix to support joint engineering initiatives and go-to-market collaboration to accelerate the adoption of AMD and the Nutanix-powered agentic AI platform. A new joint roadmap will also see the integration of MD ROCm and AMD Enterprise AI software into the Nutanix Cloud Platform and the Nutanix Kubernetes Platform using AMD EPYC CPUs and AMD Instinct GPUs with support from a broad set of OEM server providers. "Enterprise customers need the freedom to run the models and workloads that matter most to their business, without compromise," said Dan McNamara, senior vice president and general manager of Compute and Enterprise AI at AMD. "Through our partnership with Nutanix, we're building a scalable, full-stack AI platform rooted in openness, designed to give enterprises and service providers the flexibility to innovate, extend and grow AI deployments across enterprises." For its fiscal third quarter, Nutanix expects revenue of $680 million to $690 million and for its full fiscal year, revenue of $2.80 billion to $2.84. While perhaps not quite as exciting as a quarter-billion investment from AMD, Everpure/ Pure Storage's results were also impressive, with the company renaming itself from Pure Storage to Everpure. The name change was said by Chief Executive Officer Charles Giancarlo to signal how far the company has moved beyond its origins. "Everpure reflects the company we have become as we help enterprises unleash the full power of their data," said Giancarlo. For its fiscal fourth quarter that ended on Feb. 1, Everpure reported adjusted earnings per share of 69 cents, up from 45 cents per share in the same quarter of the previous fiscal year, on revenue of $1.1 billion, up 20% year-over-year. Analysts had been expecting adjusted earnings of 64 cents per share and revenue of $1.03 billion. Similarly to Nutanix, Everpure's numbers were boosted by customer growth, with the company ending the quarter with subscription services revenue of $440 million, up 14% year-over-year. Remaining performance obligations, a metric that measures outstanding work Everpure has been contracted to provide, grew 40% year-over-year to $3.7 billion. "In the fourth quarter, we generated record revenue and operating profit, exceeding the high end of our guidance," said Tarek Robbiati, chief financial officer of Everpure. "We are entering FY27 with strong momentum as demand for our Everpure solutions across the enterprise and hyperscaler sectors remains robust. We are proactively navigating the global imbalances in the supply chain and are confident in our ability to deliver on our priorities this year." For its fiscal 2027 first quarter, Everpure expects revenue of $990 million to $1.01 billion and for its full fiscal year, revenue of $4.3 billion to $4.4 billion.

Why AMD Is Putting $250M Behind Nutanix's Agentic AI Push

'It's about basically taking our Nutanix Cloud Platform, our Kubernetes Platform, and our AMD Enterprise AI software, getting them all to work on top of AMD accelerated compute hardware. So servers using AMD GPUs effectively, and bringing that solution to market. As part of that, AMD is doing two things. They're investing in buying $150 million worth of Nutanix common stock. The second thing they're doing is they're funding us up to $100 million in a combination of both R&D to bring the platform to market, and go-to-market efforts,' says Nutanix CEO Rajiv Ramaswami. AMD and Nutanix Wednesday said they have signed a multi-year strategic partnership aimed at developing what they called an open, full-stack AI infrastructure platform specifically for agentic AI applications. As part of the agreement, AMD will purchase $150 million in Nutanix common stock at $36.26 per share. AMD will also fund up to $100 million for Nutanix to help with joint engineering initiatives and go-to-market collaboration. The move comes as Nutanix evolves into what it calls a platform company. Nutanix CEO Rajiv Ramaswami in August told CRN his company wanted to become a "de facto platform" that would let customers run applications and manage data regardless of where it resides. [Related: Nutanix Takes 'Cloud To The Next Level' With New 7.5 Platform, CEO Says] AMD was not able to provide CRN further information by press time. Ramaswami, in a press conference after the company's quarterly financial conference call, said the new strategic partnership with AMD is an extension of an existing partnership between the two. As part of that partnership, the two companies will work to get the Nutanix Cloud Platform, the Nutanix Kubernetes Platform, and the AMD Enterprise AI software to work on top of AMD accelerated compute hardware. "So servers using AMD GPUs effectively, and bringing that solution to market," he said. "As part of that, AMD is doing two things. They're investing in buying $150 million worth of Nutanix common stock. The second thing they're doing is they're funding us up to $100 million in a combination of both R&D to bring the platform to market, and go-to-market efforts." Nutanix previously had an AMD relationship, Ramaswami said. "We already support Intel servers and AMD servers," he said. "That's been there for a while. Nothing new on that front. And on that front, all we're doing is we continue to expand the repertoire of AMD chipsets that we support from a server perspective. A lot of the focus on this expanded partnership around AMD GPUs accelerated compute. So historically, we have worked with Nvidia GPUs and taken that solution to market. We've had that in the market for a while, but now we're bringing on AMD solutions." When asked what Nutanix and AMD plan to use their jointly-developed platform for, Ramaswami said enterprises are building AI applications. "They are consumers of AI," he said. "They are building inferencing applications. They're building agentic AI applications. Very early stage on the agentic side, but people are already doing it. For example, we internally at Nutanix have a customer support application. We have other internal applications around document search and so forth that we built, taking open-source models, running them on top of the Nutanix stack on top of Nvidia GPUs. What we're doing with this platform is we are providing the infrastructure software along with the hardware from AMD through server partners for companies to run their enterprise inferencing and agentic AI applications and manage all the data associated with that." Nutanix offers technology platforms built with a variety of technology partners, Ramaswami said. "Our goal is to provide customer choice and bring to our customers a variety of underlying platforms," he said. "There's multiple underlying hardware platforms. Nvidia of course has been the market leader for quite a while here in the space. AMD is the other big platform company when it comes to GPUs. Customers want choice across both. You've seen, for example, how hard it has been to get ahold of Nvidia GPUs, for example, and then there's pricing comparisons and so forth. So there's a lot of reasons why it's good to have multiple providers in the market. And from a Nutanix perspective, we want to be able to support all the major providers and provide choice to our customers." When asked about potential supply issues related to AMD GPUs, Ramaswami said there are supply issues everywhere now. "There's obviously memory shortages, there's CPU shortages, and there's some GPU shortages as well," he said. "There's shortages of everything. But that, to me, was not a driver for us doing anything with AMD. This was much more of a strategic partnership to really bring a complete solution to the market for enterprises and service providers." Nutanix said the partnership will optimize the Nutanix Cloud and Nutanix Kubernetes Platforms on AMD EPYC CPUs and AMD Instinct GPUs. The two will also integrate the AMD ROCm software ecosystem and the AMD Enterprise AI platform into Nutanix AI full-stack solutions to build an open solution for agentic AI platforms that will be supported by multiple OEM partners. The first agentic AI platform developed jointly by Nutanix and AMD is slated be available some late calendar 2026. The jointly developed platform will also support high-performance AI inference accelerations powered by AMD Instinct GPUs and EPYC CPUs, high-core-density compute and orchestration through AMD EPYC processors, and unified lifecycle management via Nutanix Enterprise AI, Nutanix said.

AMD and Nutanix Enter Multi Year Strategic Partnership to Build Open and Scalable Enterprise AI Platform

Enterprise AI infrastructure is entering a phase where inference workloads dominate, and openness is essential for long-term innovation. AMD is committed to advancing an AI ecosystem built on open standards, interoperable software frameworks and architectural choice which are essential requirements for Enterprises. The first jointly developed Agentic AI platform from this partnership is expected to come to market beginning in late 2026, underscoring the companies' commitment to rapid execution and delivery. As AI inference becomes foundational to enterprise computing, infrastructure must deliver performance, efficiency and operational simplicity at scale. The co-engineered platform will be designed to provide high-performance inference acceleration powered by AMD Instinct GPUs and EPYC CPUs, high-core-density compute and orchestration through AMD EPYC processors, and unified lifecycle management via Nutanix Enterprise AI -- enabling enterprises to deploy open-source and commercial AI models without dependency on vertically integrated AI stacks.

AMD and Nutanix Announce Strategic Partnership to Advance an Open and Scalable Platform for Enterprise AI

AMD and Nutanix today announced a multi-year strategic partnership to jointly develop an open, full-stack AI infrastructure platform designed to power agentic AI applications, everywhere. This agreement aligns to both companies' commitment to an open ecosystem for AI, providing customers with choice and easy-to-deploy, production-ready, high-performance, and efficient solutions that are optimized for agentic AI, at the edge, inside enterprises, and across the cloud. The partnership aligns silicon innovation, open runtime software and enterprise cloud orchestration technologies for AI to deliver scalable, production-ready agentic AI platforms across data center, hybrid and edge environments. By optimizing the Nutanix Cloud and Nutanix Kubernetes Platforms on AMD EPYC™ CPUs and AMD Instinct™ GPUs, and integrating the AMD ROCm™ software ecosystem and the AMD Enterprise AI platform into Nutanix AI full-stack solutions, the companies are developing an open solution for agentic AI platforms using high-performance infrastructure and supported by a broad set of OEM partners. As part of the agreement, AMD will make a strategic investment of $150 million in Nutanix common stock at a purchase price of $36.26 per share, and fund up to $100 million for Nutanix to support joint engineering initiatives and go-to-market collaboration to accelerate the adoption of AMD and the Nutanix-powered agentic AI platform, everywhere. The equity investment is expected to close in the second quarter of 2026, subject to regulatory approvals and customary closing conditions. "Enterprise customers need the freedom to run the models and workloads that matter most to their business, without compromise," said Dan McNamara, senior vice president and general manager of Compute and Enterprise AI at AMD. "Through our partnership with Nutanix we're building a scalable, full-stack AI platform rooted in openness, designed to give enterprises and service providers the flexibility to innovate, extend and grow AI deployments across Enterprises." "Our partnership with AMD reflects a shared vision for scalable, production-ready AI infrastructure," said Tarkan Maner, President and Chief Commercial Officer, Nutanix. "Together, we are delivering full-stack, integrated platforms optimized for inference and agentic applications across hybrid environments for enterprises and service providers." Advancing the Open Ecosystem for Enterprise AI Enterprise AI infrastructure is entering a phase where inference workloads dominate and openness is essential for long-term innovation. AMD is committed to advancing an AI ecosystem built on open standards, interoperable software frameworks and architectural choice, which are essential requirements for Enterprises. The first jointly-developed agentic AI platform from this partnership is expected to come to market beginning in late 2026, underscoring the companies' commitment to rapid execution and delivery. As AI inference becomes foundational to enterprise computing, infrastructure must deliver performance, efficiency and operational simplicity at scale. The co-engineered platform will be designed to provide high-performance inference acceleration powered by AMD Instinct GPUs and EPYC™ CPUs, high-core-density compute and orchestration through AMD EPYC™ processors, and unified lifecycle management via Nutanix Enterprise AI -- enabling enterprises to deploy open-source and commercial AI models without dependency on vertically integrated AI stacks. Together, AMD and Nutanix are defining a new class of open AI infrastructure designed to support enterprise AI agents, multimodel inference services and industry-specific intelligent applications.

AMD, Nutanix Team Up For $250 Million AI Venture

Advanced Micro Devices and Nutanix are jointly developing an open, full-stack artificial intelligence infrastructure platform designed to power AI applications. AMD will invest $150 million in Nutanix stock at a purchase price of $36.26 a share. It will also fund up to $100 million for Nutanix to support joint engineering initiatives and go-to-market collaboration to accelerate the adoption of AMD and the Nutanix AI platform. The equity investment is slated to close in the second quarter of 2026. The AI platform will be designed to give enterprise companies and service providers the capabilities to expand AI deployments. Write to Katherine Hamilton at [email protected]