LG plans to drive growth by expanding its industrial and commercial B2B revenue — including from AI data center cooling
In sum, what to know:
LG targets AI-era HVAC – LG Electronics plans to become a global HVAC leader by 2030, driven by growing demand for data center cooling and region-specific heating and cooling solutions.
Data center focus – The company is tripling data center cooling orders in 2025 and testing liquid cooling technologies with LG Uplus, backed by its new HVAC test lab for AI server environments.
AI-powered services expand – LG is also boosting non-hardware revenue through software tools like BECON and a digital twin platform that uses AI to optimize thermal management and energy use.
Korean conglomerate LG Electronics (LG) presented a strategic roadmap aimed at transforming its Energy Solutions (ES) company into a top-tier global provider of heating, ventilation and air conditioning (HVAC) solutions by 2030.
To achieve this goal, the company plans to drive growth by expanding its industrial and commercial B2B revenue — including from AI data center cooling — and by providing regionally tailored heating and cooling solutions.
In the presentation, the company noted it continues to scale its presence in the B2B sector, supplying advanced chiller systems for data centers and large-scale commercial buildings. The firm’s portfolio includes diverse data center-specific cooling technologies – such as liquid cooling systems using coolant distribution units to directly cool server chips, chiller-based air cooling systems and HVAC solutions compatible with direct current power environments. In 2025, LG expects to more than triple orders for its data center cooling solutions compared to the previous year.
In order to develop optimized solutions for AI data centers, the Korean company established a dedicated testbed — the LG AI data center HVAC solution lab — at its Pyeongtaek chiller plant earlier this year. The facility simulates a wide range of AI server environments to conduct systematic performance testing of the company’s advanced cooling solutions. Most recently, the company began pilot testing its liquid cooling technology in collaboration with Koraen carrier LG Uplus, to further validate and refine its thermal management capabilities.
The company is also accelerating growth in non-hardware revenue, aiming to increase its share from current 10% to 20%. This includes offerings such as Building Energy Control (BECON), an AI-based integrated building management platform that provides real-time energy analytics. The Korean company is also nearing commercialization of a digital twin system for data centers that can accurately predict server heat generation and optimize HVAC efficiency using AI-powered control systems.
James Lee, president of the LG Energy Solutions, said: “HVAC demand is rising in tandem with the growing number of data centers being built worldwide. Leveraging decades of experience and core technological excellence, LG is committed to becoming a leading HVAC solution provider in the AI era.”
Last month, LG Uplus announced the launch of a liquid cooling demonstration room at its Pyeongchon 2 data center. The demo room shows advanced cooling systems designed for high-heat, high-density AI server environments. The goal is to improve energy efficiency and reduce carbon emissions — key components of what the company refers to as a future-ready Green AI Data Center.
The initiative brings together global cooling companies including Vertiv and CoolIT Systems, as well as Korean firms such as LG Electronics and Global Standard Technology (GST).
Two main technologies are under evaluation: direct-to-chip cooling, where coolant flows through plates attached directly to server components; and immersion cooling, which submerges servers in a thermally conductive oil bath.
In February, the Korean telco noted that the new liquid cooling solution, developed in collaboration with GST and other partners, uses non-conductive fluid immersion to efficiently dissipate heat from servers.
