Siemens To Fund More than $500 Million in US Manufacturing By CIOTechOutlook Team

Siemens To Fund More than $500 Million in US Manufacturing

CIOTechOutlook Team | Saturday, 04 November 2023, 04:48 IST

Siemens has announced a US$150 million investment in a new high-tech manufacturing factory in Dallas-Fort Worth to power American data centers and vital infrastructure. This plant will manufacture cutting-edge, dependable, and energy-efficient electrical equipment. It will enable the fast proliferation of data centers in the United States, which is being driven by the exponential adoption of generative AI. It will also guarantee the safe running of key infrastructure. This investment is aimed primarily at long-term consumers in the data center market, where demand is predicted to expand at a ten percent annual rate until 2030.

“There’s never been a better time to invest in critical electrical infrastructure and green mobility to support the backbone of America’s economy. The hardware and software we offer – produced through our expanded U.S. manufacturing presence – will ensure that growing industries can meet demand while continuing to make progress in decarbonizing operations,” said Roland Busch, President and CEO of Siemens AG. “With this latest step, Siemens is delivering on its €2 billion global investment strategy for 2023 to boost growth, innovation and resilience.”

As part of these investments, Siemens announced a US$220 million investment in a new rail manufacturing facility in Lexington, North Carolina, earlier this year. Construction of this facility is now underway. In addition, the company is investing in two electrical-products manufacturing plants in Grand Prairie, Texas, and Pomona, California. These projects bring the overall investment in the U.S. this year to US$510 million, which will create 1,700 jobs at Siemens as a result, as per business wire.

The new Fort Worth facility, as well as the Grand Prairie and Pomona additions, will fulfill the growing demand for critical infrastructure electrification, which includes data centers, battery plants, semiconductor operations, and EV charging.