LG, Microsoft agree to explore data centre cooling deal, newspaper says
Chairman Koo Kwang-mo met Satya Nadella in Redmond, and the two companies will look at LG supplying power and cooling gear, the Seoul Economic Daily reported.
LG and Microsoft have agreed to explore having LG supply large-scale cooling and power equipment for Microsoft's expanding AI data centres, the Seoul Economic Daily reported on Tuesday. IT infrastructure is also in scope. LG's chairman, Koo Kwang-mo, met Microsoft's chief executive, Satya Nadella, in Redmond, Washington.
The near-term focus is cooling for selected Microsoft sites, the newspaper said. Prefabricated data centres, built from pre-manufactured components, are a medium- to long-term aim. LG would combine LG Electronics' heating and air-conditioning technology with LG CNS's work building and running data centres.
The agreement extends to what the two companies call physical AI, covering manufacturing and logistics as well as mobility. The newspaper described the aim as a data flywheel. Factory-floor data would train models on Microsoft's cloud, and the models would then improve performance at production sites.
LG will also adopt Microsoft's Copilot and other AI tools for office staff worldwide, according to the report. It said no financial figures or production targets were disclosed. The account PhotonCap, which circulated the report on X, gave the same outline and added no terms.