Dive Brief:
- Electronics maker Flex is expanding its U.S. manufacturing footprint with a new Dallas facility focused on power pods and distribution units, as well as low-voltage switchgear.
- The 400,000-square-foot building will serve as a hub for Flex’s growing North American customer base, according to a news release. The company did not disclose details on the investment cost, production capacity and jobs created.
- The expansion builds on Flex’s recent $325 million acquisition of Crown Technical Systems, an Austin-based maker of power distribution products that support data centers and other use cases. A spokesperson said Flex is currently staffing the Dallas site and expects first deliveries this summer.
Dive Insight:
As more companies adopt artificial intelligence, demand is expected to surge for reliable, efficient power infrastructure that supports these technological advancements. Flex hopes to capture some of that growth and improve production lead times as part of its latest investment.
“Our new Dallas facility positions us to deliver next-generation power infrastructure solutions that help customers maximize computing performance while reducing deployment times,” Chris Butler, president of embedded and critical power at Flex, said in a statement. “We are committed to tackling the complex power challenges of AI-enabled data centers.”
Nearly every industry is looking for AI tools to quicken processes and improve results, which will require vast amounts of computing power and data storage to operate the software systems, according to Digital Realty, a Dallas-based real estate investment trust that owns and operates data centers globally. Power distribution units, essentially elaborate power strips, are key pieces of the data center puzzle.
Flex’s Dallas investment will bring together technical power pod fabrication and assembly with utility-grade capabilities in the U.S., according to the release. The expansion is part of the company’s overall strategy to diversify its product mix and build its pipeline for future growth.
Flex, formerly known as Flextronics, is a service manufacturer responsible for everything from hairdryers to the Macbook Pro, The Verge reported, with an emphasis recently on building out its power and lawn care products.
Earlier this month, the Austin, Texas-based company announced a strategic manufacturing partnership with Husqvarna, a maker of robotic mowers, riders, chainsaws and trimmers. The deal would expand the Swedish company’s products into the U.S. via Flex’s supply chains.
Flex has manufacturing facilities across the U.S., with locations in California, Illinois, Michigan, South Carolina, Tennessee and Texas, according to its website. There are also operations in Asia, Europe, and Central and South America.
