Foxconn & Schneider Electric to Manufacture AI Hardware

Schneider Electric and Foxconn have announced a partnership to produce AI data centre hardware.

The two firms will combine manufacturing capacity with energy management systems to create infrastructure for AI facilities.

Production of the joint hardware solutions is set to begin later this year.

The arrangement brings together Foxconn's global production network and rack integration work with Schneider Electric's power and cooling technologies.

The companies plan to deliver hardware packages that could help operators build AI data centres across different regions with reduced variation in design.

Manufacturing meets energy systems

Foxconn manufactures electronics at volume and has developed capabilities in AI system assembly.

Schneider Electric supplies power distribution equipment and thermal management products to industrial clients.

"At the pace AI is evolving, the industry requires a new model for how infrastructure is designed, built and delivered," says Young Liu, Chairman of Foxconn.

"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 firms will develop modular power and cooling skids that could be replicated across multiple sites.

Standardised blueprints could reduce custom engineering work for new data centre projects.

Integrated power and cooling

“AI demand continues to accelerate, and as compute scales to keep pace, the energy behind it becomes a fundamental enabler,” says Olivier Blum, CEO of Schneider Electric.

"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."

The partnership aims to shorten the time required to commission new facilities.

Olivier says that growth in this sector depends on alignment between compute platforms and the energy networks supporting them.

Reference architectures in development

Standardisation forms a central element of the collaboration.

"A key focus of this collaboration is standardisation," Olivier says.

"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 firms will explore closed-loop energy optimisation alongside modular power delivery systems.

By combining high-volume manufacturing with industrial energy management, Schneider Electric and Foxconn expect to produce infrastructure designed for dense workloads.

Physical infrastructure produced through this arrangement could support AI compute operations across multiple geographic markets.

The firms plan to align production schedules with operator requirements.