Subsequent Events

9 Months Ended

Sep. 27, 2025

Subsequent Events [Abstract]

Subsequent Event

Subsequent Events

Warrant

On October 5, 2025, the Company issued to OpenAI OpCo, LLC (the Warrantholder) a warrant to purchase up to an aggregate of 160 million shares of the Company’s common stock at an exercise price of $0.01 per share. The warrant shares will vest in tranches based on certain GPU purchase milestones by the Warrantholder, or its affiliates, or indirectly through third parties, and achievement of specified Company stock price targets and stock performance. Each vested tranche is further subject to the fulfillment of certain other technical and commercial conditions prior to exercise. Subject to certain terms and conditions, the warrant is exercisable through October 5, 2030. The Company expects to account for the warrant as a liability-classified financial instrument, unless the conditions for equity classification are satisfied. The grant date fair value of the warrant will be recognized as a reduction to revenue when revenue is recognized. The warrant, when classified as a liability, will be remeasured at fair value at each reporting period, with changes in fair value to be recorded within Other income (expense), net.

ZT Manufacturing Business Divestiture

On October 27, 2025, the Company completed the sale of the ZT Manufacturing Business to Sanmina for 1,151,052 shares of Sanmina common stock and $2.4 billion in cash, subject to certain purchase price adjustments. The Company is eligible to receive additional cash consideration of up to $450 million to the extent certain conditions are met following the close of the sale.

On October 30, 2025, with the completion of the sale of the ZT Manufacturing Business, the Company settled the contingent consideration liability of $300 million in cash and 740,961 shares of the Company’s common stock with the former ZT Systems stockholders and warrant holders.