LG Energy Solution Joins NVIDIA AI Factory Ecosystem, Targets North American Power Market

[Financial News] LG Energy Solution is accelerating its push into the North American energy storage system (ESS) market for data centers by joining NVIDIA's artificial intelligence (AI) factory ecosystem. The company is expanding its connections with global technology giants by offering battery solutions that manage sharp fluctuations in AI server power demand. Its strategy is to convert growing investments in AI infrastructure into new orders by combining local U.S. production with system integration capabilities.
LG Energy Solution said on the 22nd that it had been selected as a battery energy storage system (BESS) partner for NVIDIA's DSX Ready program. Three BESS companies worldwide were included, making LG Energy Solution the only Korean battery company selected.
An AI factory is an advanced data center designed to support the full cycle of AI development and operations. NVIDIA is building the DSX AI Factory platform to integrate and optimize everything from design to construction and operation. DSX Ready is a qualification program for partner products and solutions that meet the relevant requirements of the platform.
LG Energy Solution met the DSX Ready requirements for AC energy storage solutions with its JF2 AC Link, which is equipped with high-capacity lithium iron phosphate (LFP) batteries. LG Electronics was also included in DSX Ready on the same day with a large-capacity coolant distribution unit (CDU).
The JF2 AC Link uses a modular design to shorten construction time and allow its storage capacity to expand alongside data center expansions. It also features power control capabilities through a power conversion system (PCS). A key function is AI load leveling, which charges and discharges the batteries to mitigate fluctuations when AI server power consumption changes sharply.
The system also strengthens its voltage maintenance function to respond when grid voltage drops or rises sharply. It actively responds to changes in voltage and frequency, while grid-forming technology supports a stable power supply when electricity delivery becomes unstable. The focus is on improving operational stability at AI data centers, where power demand is both high and highly variable.
LG Energy Solution plans to expand its North American AI data center customer base by leveraging local production, supply chains and system integration capabilities. It currently operates five ESS production sites in North America and locally manufactures ESS products ranging from cells and packs to links. The company plans to raise its North American ESS production capacity to more than 50 GWh by the end of this year.
LG Energy Solution Vertech, its ESS system integration affiliate in the United States, supports customers from battery design through operation and maintenance. The company combines battery supply with system construction and after-sales management to meet the needs of data center customers.
Rising power consumption at AI data centers is driving the expansion of the ESS business. According to a forecast by Bloomberg New Energy Finance (BNEF) cited by LG Energy Solution, electricity consumption by U.S. data centers is expected to more than double, rising from 180 TWh last year to 391 TWh in 2030.
Orders in the sector are also continuing. In May, LG Energy Solution signed a contract to supply a total of 6 GWh of ESS batteries to DTE Energy, a U.S. utility company carrying out large-scale AI data center projects, including projects for Oracle. In July, the company announced that it would supply batteries for solar and ESS projects by Google and Cypress Creek Energy (CCE).
Through its inclusion in DSX Ready, LG Energy Solution plans to highlight the competitiveness of its products specialized for AI data centers, expand cooperation with global customers and secure additional order opportunities.
Kang Chang-beom, executive vice president of LG Energy Solution's ESS Battery Division, said, "Joining DSX Ready, which NVIDIA is introducing for the first time, as a partner demonstrates the competitiveness of LG Energy Solution's products optimized for AI data centers. Going forward, we will further expand our AI infrastructure business and accelerate growth based on our differentiated local production capabilities and technological leadership."
[email protected] Kim Dong-ho Reporter