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Home - LG explores Saudi deal on AI data center cooling
AI Infrastructure

LG explores Saudi deal on AI data center cooling

by Juan Pedro Tomás September 30, 2025
written by Juan Pedro Tomás September 30, 2025 Share
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Talks between LG and Saudi authorities center on expanding cooperation in thermal management for what is expected to become the Middle East’s largest net-zero AI data center

In sum – what to know:

Talks on Neom cooling tech – LG and Saudi officials explored cooperation on thermal management for Neom’s AI data centers, part of what is expected to be the Middle East’s largest net-zero facility.

Strategic AI hub ambitions – The partnership supports Saudi Arabia’s goal of becoming a regional AI hub, while LG positions itself for significant revenue opportunities in data center cooling.

Korean company LG Electronics is having talks with Saudi Arabia to discuss collaboration on advanced cooling technologies for AI data centers being developed in Neom, Saudi Arabia’s flagship megacity project, according to Korean press reports.

The reports noted that the talks are centered on expanding cooperation in thermal management for what is expected to become the Middle East’s largest net-zero AI data center, under construction by Saudi firm DataVolt.

An LG official framed the collaboration within Saudi Arabia’s broader ambitions: “Saudi Arabia is accelerating government-led investment projects to position itself as the Middle East’s AI hub. This partnership represents a critical stepping stone for LG’s expanded footprint in the region’s fast-evolving tech infrastructure landscape.”

The discussions build on a recent memorandum of understanding between LG and DataVolt that positions the Korean company as a strategic partner.

Under this project in Saudi Arabia, LG plans to integrate large-scale chillers with distribution systems tailored for AI workloads. The company is also exploring heat recovery and direct-current power systems as part of broader energy-efficiency efforts. The initiative fits into LG’s “One LG Solution” strategy, which could eventually extend to batteries from LG Energy Solution and IT services from LG CNS.

LG has been recently selected to provide advanced cooling systems for a major AI data center under construction in Jakarta, Indonesia.

For the project, LG will supply a full suite of cooling technologies, including chillers and room-based cooling systems such as computer room air handlers (CRAH), air handling units (AHU), computer room air conditioners (CRAC), and fan wall units (FWU). A custom-designed building management system (BMS) will also be installed, with the aim of ensuring seamless integration and centralized control of all components, according to the Koreah company Together, these solutions aim to provide reliable and energy-efficient thermal management across the next-generation facility, it added.

This project brings together the capabilities of multiple LG affiliates. The Jakarta data center is being developed by LG Sinarmas Technology Solutions, a joint venture between LG CNS and Indonesia’s Sinar Mas Group. Situated in Jakarta’s central business district, the facility is expected to enter service in the second half of 2026.

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Juan Pedro Tomás

Juan Pedro covers Global Carriers and Global Enterprise IoT. Prior to RCR, Juan Pedro worked for Business News Americas, covering telecoms and IT news in the Latin American markets. He also worked for Telecompaper as their Regional Editor for Latin America and Asia/Pacific. Juan Pedro has also contributed to Latin Trade magazine as the publication's correspondent in Argentina and with political risk consultancy firm Exclusive Analysis, writing reports and providing political and economic information from certain Latin American markets. He has a degree in International Relations and a master in Journalism and is married with two kids.

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