GS Engineering & Construction said on the 10th that it signed a memorandum of understanding (MOU) with LS Electric for "joint response to changes in the business environment of artificial intelligence (AI) data centers."
At the signing ceremony held that morning at LS Yongsan Tower in Yongsan-gu, Seoul, Huh Yoon-hong, CEO of GS Engineering & Construction, Koo Ja-Kyun, chairman of LS Electric, Chae Dae-seok, CEO of LS Electric, and other officials from both companies attended.
The two companies will build a cooperative system so that GS Engineering & Construction can procure key power equipment needed for the AI data center business it is pursuing from LS Electric.
AI data centers that operate high-performance computing equipment at scale are considered to require higher power density and stable substation and power distribution facilities than conventional data centers. The two companies will hold technology exchange meetings on power solutions based on modular data centers and direct current (DC) distribution, and will jointly respond to the design and technical requirements of major customers, including global big tech corporations.
An official at GS Engineering & Construction said, "Because AI data centers require a higher level of power stability and efficient power operations than conventional data centers, competitiveness in power infrastructure is a key factor that determines the success or failure of the business," adding, "We will strengthen our business competitiveness by jointly responding not only to the supply of power equipment but also to next-generation power solutions."