LS Electric Co., a leading South Korean electrical equipment manufacturer, announced Monday that its subsidiary has secured a significant 106.6 billion-won ($70.2 million) contract to supply ultra-high-voltage transformers to a US energy infrastructure company.
The subsidiary, LS Power Solution, will deliver advanced 345-kilovolt transformers for an innovative microgrid project. This critical infrastructure is designed to power a major data center operated by a prominent US big-tech company located in the central United States. Deliveries of these essential components are strategically scheduled to commence from the fourth quarter of 2027 and continue through the first half of 2028, according to a press release from LS Electric.
This substantial investment highlights the increasing demand for robust power infrastructure across North America. The surge in electricity demand is primarily driven by the exponential growth of artificial intelligence (AI) and cloud computing technologies, necessitating reliable and high-capacity data center power solutions.
The US market for data center power infrastructure is projected for remarkable growth, with an anticipated average annual expansion rate of 16 percent. This growth is expected to elevate the market value from an estimated 13 trillion won in 2025 to a staggering 56 trillion won by 2035, positioning companies like LS Power Solution at the forefront of this vital and expanding sector.
