Schneider Electric & Foxconn: Partnering for AI and Energy

Schneider Electric and Hon Hai Technology Group have announced a manufacturing partnership focused on power and cooling infrastructure for AI data centres.

The collaboration could address energy management requirements as compute density increases across hyperscale facilities.

Production of integrated hardware systems will begin later this year.

Energy systems for AI facilities

The partnership combines Hon Hai Technology Group's manufacturing capacity with Schneider Electric's energy systems expertise.

The two companies plan to develop reference architectures and modular power components designed for operators deploying large compute installations.

Foxconn brings AI rack integration capabilities and global production networks to the arrangement.

Schneider Electric will contribute power distribution, cooling technology and energy monitoring systems.

The joint approach targets operators building AI infrastructure in multiple geographic markets.

Young Liu, Chairman of Foxconn, says: "At the pace AI is evolving, the industry requires a new model for how infrastructure is designed, built and delivered. By combining Foxconn's strength in AI systems and global manufacturing with Schneider Electric's deep expertise in power and energy, we are creating a path for customers to deploy AI capacity at scale – faster, smarter and more sustainably."

The partnership could enable data centre owners to reduce custom engineering work through standardised design frameworks.

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Repeatable blueprints may shorten project timelines for new facilities.

Integrated power and cooling

Schneider Electric and Hon Hai Technology Group will co-develop modular cooling skids alongside power delivery components. This engineering method focuses on creating design templates suitable for operators managing substantial compute capacity.

Olivier Blum, CEO of Schneider Electric, says: "AI demand continues to accelerate, and as compute scales to keep pace, the energy behind it becomes a fundamental enabler. If we want to scale AI responsibly, these systems must be connected. This is where energy intelligence becomes essential."

"At Schneider Electric, we are advancing energy tech to build the most efficient and sustainable AI factories by bringing integrated power, cooling and digital capabilities into AI data centres."

Olivier notes that operators face pressure to expand infrastructure quickly. Growth at this pace requires tighter coordination between compute platforms and the energy networks supporting them.

Reducing deployment complexity

Olivier says: "Working with Foxconn, we are helping customers build capacity with real speed, resilience and efficiency, as energy technology partners to an industry that is firmly entering the era of intelligence."

Olivier describes standardisation as central to the partnership's objectives. The companies are developing reference architectures for AI data centre modules that could reduce complexity and shorten deployment schedules.

He says: "A key focus of this collaboration is standardisation. Together, we are developing reference architectures for AI data centre modules that help reduce complexity, shorten deployment timelines and improve energy performance from the start."

The arrangement will also explore closed-loop energy optimisation and modular power systems. By connecting high-volume manufacturing with industrial energy management, the firms expect to produce infrastructure capable of handling dense workloads from initial deployment.