Manal Saleh 


Company Strengthens Position in Data Center Chiller Market Through

Partnership with AIR to Support More Than 5GW of AI Data Center Capacity

 

News Summary

Ÿ  LG Electronics USA has secured a long-term supply agreement with AIR Control Concepts to provide advanced cooling solutions for AI data centers in North America.

Ÿ  The agreement supports a large-scale, multi-year supply program supporting data centers with more than 5GW of capacity.

Ÿ  This milestone reflects AIR’s confidence in LG’s cooling technologies to meet the demanding standards required for hyperscale data center infrastructure, positioning LG as a key supplier in this market.

 

Riyadh, Nov. 3, 2026 — LG Electronics USA, the North American subsidiary of LG Electronics (LG) has signed a major supply agreement with AIR Control Concepts (AIR), the largest global platform of leading HVAC, electrical, service, and controls companies, to provide advanced chillers for data centers in the United States and Canada. The long-term contract accelerates LG’s expansion into the global AI data center (AIDC) cooling market, addressing the rapidly growing demand for high-efficiency thermal management solutions in AI infrastructure.

 

Securing AI Infrastructure Partnership with Leading Data Center Developers

Under the agreement, LG will supply advanced chillers supporting large-scale AI data center projects exceeding 5GW of capacity in North America. AIR oversees mega-scale infrastructure projects across major North American data center hubs, serving leading global data center operators as key customers.

 

The LG Air-Cooled Centrifugal Chiller designed for AI data centers incorporates refrigerant free-cooling technology, using cool outdoor air to lower the compressor cooling load. Based on LG’s internal simulation, refrigerant free-cooling can consume approximately 30 percent less energy annually than waterside free-cooling.1      

 

This contract demonstrates that LG’s cooling solutions meet AIR’s stringent technical and reliability requirements for its hyperscale data center projects. Moving beyond single-project bids, the agreement establishes LG as a core infrastructure partner supporting the growth of AI data centers in North America.

 

For AIR, the partnership reinforces its position as one of North America’s fastest-growing AI data center infrastructure platforms. As data center customers race to bring new capacity online, AIR is scaling the operational depth and supplier relationships needed to deliver mission-critical cooling infrastructure on schedule and at the standard the industry now requires.

 

Targeting Rapid Growth in the Global AIDC Market 

The expansion of LG’s AI data center cooling business draws on six decades of HVAC engineering experience in high-reliability environments such as nuclear power plants and large hospitals. Building on recent successes in supplying cooling solutions to hyperscale AI data centers in North America, LG is also expanding its global footprint with key data center projects in the Middle East and Indonesia. By leveraging the integrated capabilities of the broader LG Group to offer comprehensive cooling solutions, the company aims to drive mid- to long-term revenue growth.

 

The global AI data center market presents significant growth opportunities. According to Fortune Business Insights, the market is expected to grow by approximately 26 percent annually, reaching USD 133.5 billion by 2034. In its Q2 2026 earnings report, LG highlighted that first-half orders for data center cooling solutions exceeded USD 428 million, and the company expects orders to reach several billion US dollars by year-end. The company expects to achieve its 2027 chiller business revenue target of approximately USD 680 million (KRW 1 trillion) ahead of schedule.2

 

Leveraging Complementary Capabilities to Address Exploding Demand

“As heat management in AI data centers emerges as a major global priority, LG aims to be a major player in the global AIDC cooling market,” said James Lee, president of the LG Electronics ES Company. “We will achieve this through our differentiated technology, including our high-efficiency chillers, and our rapidly expanding experience in supplying leading big tech companies.”

 

“This agreement reflects the confidence data center customers place in AIR to deliver mission-critical infrastructure at a scale and pace the industry has never seen before,” said Brad Hobbs, Chief Executive Officer of AIR Control Concepts. “LG’s high-efficiency chiller technology gives us a proven platform we can deploy with confidence across our AI data center portfolio, and this agreement positions AIR to support our customers’ growth for years to come.”

 

“Data center cooling represents a key pillar of LG’s global growth strategy, and this major supply agreement with AIR marks an inflection point for LG’s North American chiller business,” said Don Kwack, CEO, LG Electronics North America. “This alliance leverages LG’s proven cooling innovations and AIR’s strong position with U.S. data center developers at a critical time for reliable AI infrastructure expansion.”

 

“We’re excited to deepen our partnership with LG at exactly the moment our industry needs it most,” said Hayden Bland, President of AIR Control Concepts. “Data center operators are looking for partners who can deliver mission-critical reliability, capacity and certainty at scale. Together with LG, we’re building the technology, manufacturing capacity and support infrastructure to meet that need. For data center customers planning their next generation of data centers, now is the time to engage with us.”

 

1 Based on LG’s internal simulation of a single 1,750 kW unit operating at 100 percent cooling capacity under climate conditions in the Seoul metropolitan area. Annual energy consumption was calculated at 1,479,655 kWh for hydronic free-cooling and 1,044,824 kWh for refrigerant free-cooling. Actual energy consumption may vary depending on installation and operating conditions.

 

2 This press release contains forward-looking statements regarding future revenue targets, which are based on current expectations and are subject to risks and uncertainties that could cause actual results to differ materially. LG undertakes no obligation to update these statements.

 

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About LG Electronics, Inc.

LG Electronics is a global innovator in technology and consumer electronics with a presence in almost every country and an international workforce of more than 75,000. LG’s four Companies – Home Appliance Solution, Media Entertainment Solution, Vehicle Solution and Eco Solution – combined for global revenue of over KRW 89 trillion in 2025. LG is a leading manufacturer of consumer and commercial products ranging from TVs, home appliances, air solutions, monitors, automotive components and solutions, and its premium LG SIGNATURE and intelligent LG ThinQ brands are familiar names world over. Visit www.LG.com/global/newsroom/ for the latest news.