Pranav Hotkar
Las Vegas, United States, November 19, 2025- Schneider Electric has announced a USD 373 million Supply Capacity Agreement (SCA) with data center giant Digital Realty, marking one of the company’s largest U.S. power infrastructure commitments amid surging demand for AI-ready capacity. The deal was revealed at Schneider Electric’s Las Vegas event alongside broader U.S. bookings totaling nearly USD 2.3 billion.
Under the agreement, Schneider will supply Uninterruptible Power Supply (UPS) systems, Low-Voltage Switchgear (LVS) and Pre-Fabricated Skids to accelerate Digital Realty’s U.S. expansion pipeline. The company said the SCA aims to secure guaranteed capacity at a time when hyperscale developers are struggling with long lead times for critical electrical equipment.
In its release, Schneider Electric said the partnership reinforces its role as a core infrastructure provider for Digital Realty’s next wave of high-density facilities. “This agreement strengthens our longstanding relationship with Digital Realty and ensures they have the resilient, efficient power infrastructure needed to scale at speed,” said Aamir Paul, President, North America Operations, Schneider Electric.
Industry analysts note that Digital Realty is racing to expand U.S. capacity amid unprecedented AI-driven demand for compute-heavy campuses. The SCA will support projects planned across 2025-2026, with phased delivery to mitigate equipment shortages and supply-chain bottlenecks.
Schneider’s combined U.S. contracts, including a separate USD 1.9 billion agreement with Switch announced at the same event, reflect the scale of power-equipment investment now required to meet AI and cloud growth. Together, these deals highlight the shift toward long-term capacity-locking agreements between hyperscalers and OEMs.
Digital Realty said the arrangement aligns with its push to deploy more energy-efficient, modular power systems across its North American portfolio. The company has increasingly turned to prefabricated electrical blocks to accelerate build times and reduce on-site complexity, a trend Schneider said it expects to grow sharply over the next two years.
Schneider’s announcement emphasized the need for “predictable, high-volume supply chains” for electrification products as data centers enter what the company describes as a new era of AI-scale power density.
With the SCA now in place, construction partners expect the first wave of equipment deliveries to begin in 2025. Both companies indicated that additional capacity agreements may follow as demand for AI and high-performance computing continues to accelerate across the United States.
