Schneider Electric (EPA:SCHN) SE is collaborating with Nvidia Corp (NASDAQ:NVDA) to create cooling system designs specifically for new artificial intelligence (AI) data centers. Announced on Wednesday, these systems will support Nvidia's top-tier servers, which boast 72 of its most advanced AI chips and are set to be deployed in early next year.
While the financial aspects of the partnership remain undisclosed, the significance of the collaboration is evident in the technical details shared.
The upcoming servers are expected to draw up to 132 kilowatts of power per rack, necessitating the use of liquid cooling for the most potent models. Nvidia's shift towards liquid cooling for the majority of its chips has prompted a wave of data center activity, including both new constructions and modifications to existing facilities, to integrate the new technology.
Aparna Prabhakar, Senior Vice President of Schneider's secure power division, highlighted the intensive engineering collaboration between the two companies, stating, "It is heavy lifting on both sides."
Schneider Electric's role encompasses all external aspects of the server infrastructure, while Nvidia focuses on the internal components.
The cooling designs developed by Schneider are versatile, capable of being adjusted according to the number of Nvidia servers and their respective power requirements. These designs are intended for sale to cloud service providers and data center operators.
This partnership aligns with Schneider Electric's strategic efforts to bolster its AI data center offerings. In 2023, the company secured a significant contract with Compass Datacenters, agreeing to supply $3 billion worth of electrical equipment over a period of five years.
This deal came shortly after Schneider Electric underwent a leadership change, appointing a new CEO last month.
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