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Schneider Electric and Compass Data Center Signs a $3 Billion Equipment Deal

Last Updated on Jun 25, 2024, 04:00 AM IST
Schneider Electric and Compass Data Center Signs a $3 Billion Equipment  Deal

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Compass Datacenter has signed a deal to buy USD 3 billion worth of data center facility equipment from Schneider Electric. The five-year deal is the result of the AI boom which significantly increased the demand for data centers. This agreement will extend the joint venture announced in July 2023 where Schneider Electric and Compass will integrate the supply chains. The supply chain is committed to delivering data center facility modules across the US.

 

Compass Data Center

 

Schneider Electric will manufacture prefabricated modular data center equipment at a 110,000-square-foot manufacturing facility adjacent to Compass’s campus in Red Oak, Texas, and ship it to customers across the US. Schneider Electric and Compass data centers have manufactured and delivered around  150 modular data centers to date.

 

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Data center facility projects in the United States

 

Chris Crosby CEO of Compass Datacenters stated that the company aims to reduce the time and cost of constructing data center modules as well as maintaining the quality.  Brookfield Infrastructure and its Partners acquired Compass Data Center recently. The deal is estimated at USD 5.5 billion and is expected to be completed by the end of this year.

 

About Compass Data Center

Compass Datacenters is a leading provider of custom, move-in-ready data center solutions for hyper-scale, cloud, and enterprise customers. The company designs, constructs, and operates data centers from edge deployments to core facilities. Compass Datacenters is committed to sustainability and incorporates environmentally friendly practices into its data center operations.

 

Data Center Facility

 

Compass Datacenters was founded in 2011 by a team of experienced data center professionals. The company has a proven track record of delivering high-quality data center solutions to a diverse range of customers. Compass Datacenters has a strong presence in the North American market with data centers located in key markets such as Chicago, Dallas, and Northern Virginia.

 

About Schneider Electric

Schneider Electric SE is a French multinational corporation that specializes in digital automation and energy management. It caters to a diverse range of industries, including homes, buildings, data centers, infrastructure, and manufacturing, by combining energy technologies, real-time automation, software, and services. With a rich history dating back to 1836, Schneider Electric has evolved into a global leader with a presence in over 100 countries and a workforce of over 135,000 employees.

 

 

Details About The Joint Venture in Texas

Schneider Electric & Compass Datacenters formed a groundbreaking supply chain integration alliance in July 2023 to develop a state-of-the-art integration facility to support the increasing demand for prefabricated modular data centers. The 110,000 sq ft facility, adjoining Compass' Red Oak, Texas campus, will create over 100 jobs and enable both companies to integrate their supply chain networks in response to data center business growth and customer demands. Here's a summary of the key points of the joint venture:

 

  • Formation: July 2023
  • Purpose: Develop and operate a state-of-the-art integration facility for prefabricated modular data centers
  • Location: 110,000 sq ft facility adjacent to Compass' Red Oak, Texas campus

 

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