Data Centers Don't Just Need Power -- They Need Cooling. Trane and Carrier Sell It.
The HVAC giants are profiting from the AI boom.
Overview
Trane (NYSE: TT) and Carrier (NYSE: CARR), two of the world's largest heating, ventilation, air conditioning, and cooling (HVAC) companies, are generally considered slower-growth, cyclical companies that generate stronger sales in hotter summers and warmer housing markets.
But in recent years, both companies have experienced a surge in orders from data centers. As the AI market expanded, many pure-play cooling companies couldn't meet the refrigeration needs of hyperscalers, whose requirements skyrocketed as AI clusters grew hotter with every new generation of accelerators from Nvidia (NASDAQ: NVDA) and other chipmakers.
Image source: Getty Images.
Details
Source
Originally published at www.fool.com.
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