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The Schneider Electric and Compass Datacenters Partnership Expands to $3 Billion Five-Year Deal

The Schneider Electric and Compass Datacenters Partnership Expands to $3 Billion Five-Year Deal
  • Agreement between the companies is an expansion of an existing partnership to manufacture prefabricated modular data center solutions

  • The integration of supply chains between companies will deliver finished goods more quickly, with predictability, and at a lower cost

Schneider Electric, the leader in the digital transformation of energy management and automation, announced at its Capital Markets Day meeting with investors a $3 billion multi-year agreement with Compass Datacenters. The agreement extends the companies’ existing relationship that integrates their respective supply chains to manufacture and deliver prefabricated modular data center solutions.

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The skyrocketing generation and consumption of data, in large part due to the burgeoning AI market, requires a new breed of data centers that can be standardized in their design, manufactured efficiently, and delivered more quickly at a lower cost.

Since the inception of the initial agreement between the companies, Schneider Electric has manufactured and delivered about 150 modular data center solutions to Compass from its West Chester, OH operation. As demand for more data center solutions increase, the 110,000 square-foot Red Oak, TX operation—which the companies jointly announced in the summer—will also be used to support projected growth.

“We are extremely grateful for the unwavering support and unparalleled expertise that Schneider Electric has already provided in supplying us with pre-fabricated data center power rooms,” said Chris Crosby, CEO, Compass Datacenters. “Our collaborative efforts will allow us to meet the increasing demands from our customers to deliver cutting-edge data center solutions in an innovative manner.”

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“We are proud that Compass chose Schneider Electric as their data center partner because we can provide the infrastructure they require in a predictable and reliable manner,” said Aamir Paul, President, Schneider Electric North America. “The extension of our agreement to continue innovating will address future demands to serve customers in industries ranging from cloud and service providers to semiconductors and EV’s, healthcare and telecommunication, among others.”

Through this unique 5-year vendor-supplier agreement, Schneider Electric and Compass Datacenters can deliver on the promise of scalable, modular data centers that offer a simplified design, streamlined manufacturing, and the ability to be deployed easily across many environments.

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[To share your insights with us, please write to sghosh@martechseries.com]

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