LS Electric Secures Major KRW 320 Billion Order for North American Data Centers

LS Electric has once again demonstrated its position as a key player in the North American power infrastructure 'supercycle' by successfully securing an order worth KRW 320 billion in the North American data center market. On April 29, LS Electric announced that it had signed a supply contract for distribution solutions with global power company Bloom Energy, worth approximately KRW 319 billion (about USD 220 million).

Koo Ja-kyun, Chairman of LS Electric (center), is taking a commemorative photo with employees in front of the MCM Engineering II plant located in Utah, North America. LS Electric

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LS Electric will participate in the construction of power infrastructure for a hyperscale data center of a major big tech company, which Bloom Energy is developing in New Mexico, United States. The company plans to supply a full suite of major distribution systems, including switchgears and transformers.

As data centers must provide massive amounts of stable power around the clock, high-efficiency and highly reliable distribution equipment is essential. In particular, with the recent proliferation of artificial intelligence (AI) data centers, the North American power market is shifting its focus from 'transmission' to 'distribution', which is proving advantageous for LS Electric. Leveraging its manufacturing expertise, rapid delivery, and stable maintenance systems, LS Electric has been winning large-scale projects in succession. Earlier this month, the company also secured a power solutions project for a major big tech data center worth KRW 170 billion.

To expand its presence in the North American market, LS Electric is also accelerating efforts to strengthen its local production base. The company is increasing its local production capacity, focusing on key sites in Utah and Texas. According to the company, this will greatly enhance its delivery competitiveness.

At the same time, LS Electric is concentrating on the 'direct current (DC) distribution' business targeting the next-generation data center market. Within the data center industry, interest in DC distribution, which can improve energy efficiency by reducing power conversion steps, is growing rapidly. LS Electric aims to preempt the market by leveraging its world-class low-voltage DC (LVDC) solutions and operational know-how from its 'DC Factory' at the Cheonan plant.

An LS Electric representative stated, "Investment in distribution infrastructure in the US data center market is rapidly expanding due to the spread of AI and increasing power demand. By expanding our local supply chain, strengthening partnerships, and focusing on next-generation DC solutions and other core technological capabilities, we will continue to secure large-scale orders in the North American market and accelerate our growth trajectory."

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