LG Electronics secured 600 billion won in orders in the first half of this year for its artificial intelligence data center (AIDC) cooling solutions business. It aims to expand the order volume to several trillion won by the end of the year.
On a conference call for second-quarter results held on the 30th, Chief Financial Officer Kim Chang-tae, a vice president at LG Electronics, said, "The results of our active efforts to win overseas orders are starting to materialize," adding, "We secured 600 billion won in AIDC cooling solutions orders in the first half, and we are targeting order intake at the several-trillion-won level within the year."
Kim said, "As related demand grows rapidly, there is a move to find new suppliers with product competitiveness and stable supply capabilities," adding, "We are receiving positive evaluations from existing client companies for product quality and on-time supply capabilities, so we judge the outlook for orders to be bright."
Kim added, "To respond to the rapid increase in order volume, we will gradually expand production capacity (CAPA) at home and abroad," and, "While responding to the on-time production of ordered volumes, we will strengthen our competitiveness in winning orders from overseas client companies."
It is also expanding product certifications from global big tech corporations. Kim said, "Results are becoming visible in component quality certifications for global big tech corporations such as Nvidia," adding, "We completed certification for some models of the cooling distribution unit (CDU), a core component of liquid cooling solutions, and additional product certifications underway are progressing smoothly."
LG Electronics recently became the first domestic company to receive final quality certification from Nvidia for a 600-kilowatt-class CDU. The company plans to expand certification targets to high-capacity CDUs of 1 megawatt, 2.5 megawatts, and 4 megawatts.