Daqo New Energy to Establish AI Data Center Energy Solutions Facility
Daqo New Energy Corp. plans to invest approximately RMB 6 billion ($835 million) in energy solutions for AI data centers. The initiative, divided into two phases, aims to enhance the company’s portfolio amidst a 23% revenue decline.
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Daqo New Energy Corp. will invest about RMB 6 billion ($835 million) to develop a manufacturing facility for energy solutions aimed at artificial intelligence data centers. The investment agreement was signed with the Management Committee of the Kunshan Economic and Technological Development Zone, with Phase 1 set at RMB 2.1 billion ($290 million).
The project will involve the development of energy storage systems, solid-state transformers, circuit breakers, and batteries. Despite this initiative, Daqo faces financial challenges, with a 23% revenue drop to $568 million and a stock decline of 48% over six months. The future impact of the investment remains uncertain as the project is in its preparatory phase.
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