The LS Electric chairman, Koo Ja-kyun and at the
firm’s U.S. unit in Utah celebrate the new contract. Photo by LS Electric
SEOUL, April 14 (UPI) — South Korea’s LS Electric said it secured a contract worth $115 million to supply power infrastructure for a large-scale data center in the United States.
Under the deal, the Seoul-based power solutions provider will deliver switchgear and distribution transformers.LS Electric did not disclose the identity of its customer.
The agreement, announced Monday, came as demand for data center infrastructure accelerates alongside the growing adoption of artificial intelligence services, which are driving a sharp increase in electricity consumption.
Power consumption at the global data centers surpassed 400 terawatt-hours in 2024, a level comparable to that of a sizable country, according to the International Energy Agency. The figure is projected to more than double by the end of the decade.
LS Electric forecasts that the North American infrastructure market for data centers will grow at a compound annual growth rate of 6.7%, expanding to $23.5 billion in 2031 from $15.8 billion last year.
To target the market, LS Electric operates two production hubs in the United States, MCM Engineering II in Utah and a campus in Texas.
“In line with the rapid expansion of hyperscale data centers, demand for power infrastructure is surging, and our technological capabilities are being recognized in the global market,” LS Electric said in a statement.
“We will strategically expand our data center power business in North America as a base to strengthen our market leadership,” it said.
The share price of LS Electric soared 13.71% on the Seoul bourse on Monday. It rose 3.57% on Tuesday.