Flex Further Boosts U.S. Manufacturing Capacity to Meet Growing Demand for Data Center Critical Power Solutions
Rhea-AI Summary
Flex (NASDAQ: FLEX) has expanded its data center power products manufacturing capacity at its Columbia, South Carolina facility. The 134,000 sq. ft. facility, along with a new 400,000 sq. ft. facility in Dallas, Texas, will produce critical power solutions including Databar, Power Distribution Units (PDUs), and Remote Power Panels (RPPs).
The expansion aims to meet increasing power infrastructure demands driven by AI adoption while reducing production lead times for U.S. data center operators. Since fiscal year 2024, Flex has expanded its global manufacturing footprint by over eight million square feet, including four new strategic locations primarily in the United States.
As of March 31, 2025, Flex's U.S. presence spans over 13 million square feet across 17 facilities. Combined with approximately nine million square feet in Mexico, Flex maintains one of North America's largest advanced manufacturing footprints.
Positive
- Significant expansion of U.S. manufacturing capacity with 134,000 sq. ft. in Columbia and 400,000 sq. ft. in Dallas
- Strategic growth to meet rising AI-driven demand for data center power solutions
- Total U.S. presence of 13 million square feet across 17 facilities
- Eight million square feet of global manufacturing expansion since FY2024
Negative
- None.
Insights
Flex's strategic manufacturing expansion targets high-demand AI data center power infrastructure, positioning for regionalized production and reduced lead times.
Flex's facility expansion in South Carolina represents a strategic manufacturing capacity increase specifically targeting critical power products for data centers. The 134,000 sq. ft. dedicated space in Columbia, complementing a recently opened 400,000 sq. ft. facility in Dallas, significantly enhances domestic production capabilities for Databar, PDUs, and RPPs—essential components for power distribution in data centers.
This capacity expansion directly addresses the surging power requirements driven by compute-intense AI environments. By localizing production, Flex is strategically reducing lead times for U.S. data center operators while strengthening supply chain resilience—a critical advantage in the current high-demand market.
The scale of Flex's broader expansion is remarkable, adding over 8 million square feet globally since FY2024, including four strategic new locations predominantly in the United States. This has resulted in a formidable North American manufacturing footprint exceeding 22 million square feet (13+ million in the U.S. across 17 facilities, plus 9 million in Mexico).
This substantial capacity increase positions Flex to capitalize on the growing trend toward regionalized manufacturing while meeting accelerated deployment timelines for data center infrastructure—a strategic advantage as operators race to scale AI capabilities.
Flex's manufacturing expansion strategically addresses critical AI power infrastructure bottlenecks, positioning for growth as data centers struggle with unprecedented energy demands.
Flex's production capacity expansion directly targets one of the most significant challenges in the AI infrastructure boom: power delivery systems. As organizations rapidly scale AI deployments, data centers require substantially more robust power infrastructure—creating urgent demand for components like the Databar, PDUs, and RPPs that Flex manufactures.
This expansion is particularly well-timed as AI workloads frequently demand 5-10x more power density than traditional computing workloads. By increasing domestic production capacity for these critical power components, Flex positions itself at the intersection of two powerful market forces: the explosive growth in AI computing and the strategic reshoring of critical infrastructure manufacturing.
The company's statement about responding to "significant customer demand" suggests strong visibility into sustained order flow from data center operators. This expanded U.S. production capacity should strategically reduce lead times—a crucial competitive advantage when data center construction and expansion timelines are being compressed due to AI deployment pressures.
With industry analysts projecting continued acceleration in data center power infrastructure investments through 2025-2026, Flex's manufacturing expansion appears well-aligned with both current demand and future growth opportunities in supporting the physical infrastructure underpinning the AI revolution.
News summary
- Increased domestic production capacity enables
U.S. data center operators to better meet rising power infrastructure demands - The expansion enhances production of Flex-owned critical power products such as Databar, Power Distribution Units (PDUs) and Remote Power Panels (RPPs)
- To support strong customer demand, Flex has boosted its
U.S. presence to over 13 million square feet across 17 facilities
With dedicated capacity of 134,000 sq. ft., the facility complements the recently announced opening of a 400,000 sq. ft. Flex manufacturing facility in
"Rapid AI adoption across sectors is increasing data center operators' need for reliable, efficient, and scalable power infrastructure solutions," said Chris Butler, President of the Embedded and Critical Power Businesses at Flex. "Expanding dedicated production capacity in this strategic location demonstrates our commitment to tackling the power challenges inherent in compute-intense environments and enables us to better serve customers as they build out data centers across the
To support significant customer demand, Flex has strategically expanded its global manufacturing footprint by more than eight million square feet since fiscal year 2024. This growth includes four new strategic locations, predominantly in
As of March 31, 2025, Flex's
About Flex
Flex (Reg. No. 199002645H) is the manufacturing partner of choice that helps a diverse customer base design and build products that improve the world. Through the collective strength of a global workforce across 30 countries and responsible, sustainable operations, Flex delivers technology innovation, supply chain, and manufacturing solutions to diverse industries and end markets.
Flex Contacts
Media & Press
Christie Haber
Director, Commercial Marketing
(602) 245-1057
Christie.Haber@flex.com
Investors & Analysts
David A. Rubin
Vice President, Investor Relations
(408) 577-4632
David.Rubin@flex.com
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SOURCE Flex
