LS Electric and GS Engineering & Construction signed a "Memorandum of Understanding (MOU) for Joint Response to Changes in the AI Data Center (AIDC) Business Environment" on August 10 at LS Yongsan Tower, aiming to target the AI data center market. Key executives, including LS Electric Chairman Ja-kyun Koo, GS Engineering & Construction CEO Yoonhong Huh, and LS Electric CEO Dae-seok Chae, attended the signing ceremony. The companies agreed to cooperate on developing next-generation direct current (DC) power distribution technology to improve power efficiency and hold regular technical exchange meetings. They will establish a cooperative system for a stable supply of LS Electric’s core power equipment, including gas-insulated switchgear (GIS), switchboards, and ultra-high voltage transformers, for AIDC projects led by GS Engineering & Construction. LS Electric has commercialized solid-state transformers (SST), solid-state circuit breakers (SSCB), and energy storage systems (ESS), and operates the world’s first “DC Factory” at its Cheonan site, implementing 100% direct current power distribution. The company has also supplied power infrastructure to large-scale data center projects by leading U.S. big tech companies. An LS Electric representative noted the AI data center paradigm is shifting to DC power distribution to minimize power loss, while a GS Engineering & Construction representative highlighted the need for higher power stability and efficient power operation in AI data centers.