Barclays Warns Added Capacity May Squeeze AI Data Center Suppliers
Photo: TokenPost
Barclays sees a risk that added production capacity could weaken pricing power for AI data center equipment suppliers, putting future margins in focus despite strong orders and revenue. Barclays analyst George Featherstone identified Siemens Energy AG, Siemens AG, ABB Ltd. and Schneider Electric SE in an Oct. 20 assessment. Siemens Energy and Siemens AG are separate companies. The concern centers on what suppliers may be able to charge as they expand production capacity to serve data center customers. ABB booked $12.055 billion in third-quarter orders, up 40% from a year earlier. Its data center orders grew by a triple-digit percentage.
Source: TokenPost
