LS ELECTRIC has won a $46 million contract to supply distribution solutions for a major U.S. AI data center microgrid project, scheduled for delivery between February and July 2026. The company will provide distribution switchgear packages for gas power facilities within the microgrid, designed to ensure stable and efficient power supply.

The project comes amid growing AI and cloud computing demand in the U.S., which has strained existing power infrastructure. Many newly constructed data centers are turning to microgrid systems to self-generate and optimize electricity use rather than rely on aging transmission networks.

As a leading player in smart grid and microgrid technology, LS ELECTRIC brings expertise in DC power devices essential for distributed power systems. The company holds the UL certification, allowing it to operate in the U.S. distribution market, and has previously supported infrastructure projects for major corporations, including LG, Samsung, SK, and Hyundai.

Industry analysts anticipate follow-up orders and expansion opportunities as the U.S. data center market continues to grow. Global data center power demand is expected to rise 11% annually from 2023 to 2028, with energy-intensive AI servers driving demand growth up to 36% per year.

The contract positions LS ELECTRIC to expand its footprint in the North American market, particularly in the fast-growing data center and decentralized energy sectors.

Source: ls-electric.com