Schneider Electric Expands Leadership in Data Center Cooling with Acquisition of Motivair Corporation!

Schneider Electric, a global leader in energy management and automation, has announced the acquisition of a controlling stake in Motivair Corporation, a prominent provider of liquid cooling and advanced thermal management solutions for high-performance computing systems.

With the increasing power demands driven by technologies like Generative AI and Large Language Models (LLMs), the need for more efficient data center cooling solutions has grown. Traditional air cooling systems are proving inadequate for densely packed, high-performance data centers. Consequently, liquid cooling systems have emerged as a critical solution, and analysts predict demand for these systems will grow at a compound annual growth rate (CAGR) of over 30% in the coming years.

The acquisition adds Motivair’s expertise in direct-to-chip liquid cooling and high-capacity thermal management to Schneider Electric’s portfolio. Headquartered in Buffalo, NY, Motivair, founded in 1988, employs over 150 people and offers a range of thermal management products, including Coolant Distribution Units, Rear Door Heat Exchangers, Cold Plates, and Heat Dissipation Units. Motivair has experienced consistent double-digit growth and is well-positioned to meet the needs of large data centers and AI-driven companies.

Peter Herweck, CEO of Schneider Electric, said, “The acquisition of Motivair reinforces our leadership in data center cooling solutions. Motivair’s liquid cooling technology enhances our value proposition, supporting the growth of data center infrastructure from the grid to the chip.”

Rich Whitmore, President & CEO of Motivair, remarked, “Partnering with Schneider Electric allows us to scale operations and invest in new technologies, further solidifying our leadership in the industry.” Schneider Electric will acquire 75% of Motivair for $850 million, with plans to purchase the remaining shares by 2028. Pending regulatory approvals, the deal is expected to close in the coming quarters, with Motivair becoming part of Schneider’s Energy Management division.