ABB CEO Morten Wierod said he is “very confident” that demand from data centers powering artificial intelligence will keep growing for years, as companies worldwide pour trillions into new infrastructure.
The Swiss engineering company reported double-digit order growth in 2025 for its electrification products, including power systems and switchgear used in AI and cloud facilities. Wierod said ABB’s data center business rose to 7% of total revenue, up from 6% in 2024.
“I don’t think there is a bubble,” he said. “We see strong demand — the bottleneck is construction capacity. There aren’t enough people or resources to build everything that’s being planned.”
ABB this week also revealed a long-term partnership with Nvidia to develop power and electrification solutions for next-generation AI chips. “It’s very important to be part of future technology developments,” Wierod said.
While most of ABB’s business focuses on new construction, Wierod noted growing opportunities in upgrading older data centers, which require more power and efficient equipment to support AI workloads.
“The AI revolution is just beginning,” he said. “That’s what gives us confidence that this demand will last.”
