Rackspace Technology Inc. (NASDAQ:RXT) is one of the 10 Stocks Making Investors Richer.
Rackspace Technology soared to a four-year high on Wednesday, extending a winning streak to a third consecutive day, as investors gobbled up shares after clinching a new 30 MW cloud computing deal with Advanced Micro Devices (AMD).
In intra-day trading, Rackspace Technology Inc. (NASDAQ:RXT) climbed to a record high of $8.60 before paring gains to finish the session just up by 21.26 percent at $7.53.
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In a statement on the same day, the two firms said that they joined forces for the phased deployment of an initial 30 MW footprint dedicated to AMD-based compute across Rackspace Technology Inc.’s (NASDAQ:RXT) global data centers beginning late this year through 2028.
The deployment followed a memorandum of understanding inked last month, which establishes AMD as a strategic technology partner at the silicon layer of Rackspace’s governed AI stack.
The full deployment would support regulated enterprise workloads, including healthcare providers who have expressed early interest in accelerated compute for clinical AI and inference at scale.
Both firms expect to dedicate sales and marketing resources to identify and engage enterprise customers for AMD compute-powered infrastructure, and with each party jointly developing and pursuing customer opportunities across regulated industries.
“Enterprises in regulated industries need AI infrastructure that is governed from the ground up, with one operator accountable for business outcomes, not a collection of vendors each owning a piece,” Rackspace Technology Inc. (NASDAQ:RXT) CEO Gajen Kandiah.
“This collaboration combines the right compute with the right operating model and delivers something the market hasn’t offered before: a governed AI stack with one accountable partner from silicon to outcomes.”
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