US multinational Honeywell has partnered with South Korean power systems firm LS Electric to develop combined hardware and software solutions that simplify power management and distribution for data centers and large commercial buildings.

According to the companies, the agreement will combine Honeywell’s building automation and controls expertise with LS Electric’s experience in power systems, enabling closer integration between electrical distribution and building management platforms. The companies claim the joint approach will help operators align power loads with capacity and improve system reliability across critical facilities.

The partners will co-develop products for the data center sector, offering integrated switchgear and power management tools. The systems will manage power distribution to critical equipment while minimizing the risk of unplanned outages.

Potential future developments will include new electrical power monitoring systems built on Honeywell Forge, the company’s AI-enabled industrial analytics platform, and LS Electric’s control software. The system is expected to utilize predictive analytics to identify and address power quality issues before they cause downtime.

“This collaboration supports our strategy to deliver scalable, intelligent solutions for energy-intensive industries,” said Billal Hammoud, president and CEO of Honeywell Building Automation.

“As data and energy demands continue to grow, combining Honeywell’s automation expertise with LS Electric’s power systems creates an integrated infrastructure that’s resilient, efficient, and ready for the AI era.”

Additionally, the companies have announced plans to co-develop a battery energy storage system (BESS) specifically designed for data centers, industrial facilities, and large commercial buildings. The BESS will be based on LS Electric's storage technologies and also utilize Honeywell’s energy management software to create microgrids that can stabilize on-site power and reduce dependency on the primary grid during peak demand periods.

The partners claim that the system will be able to use real-time data, such as utility rates, weather conditions, and grid performance, to forecast and optimize energy sourcing and costs.

JongWoo Kim, president of LS Electric Power Electric, said the partnership will support the company’s expansion into the North American data center market. “By combining our experience in power infrastructure with Honeywell’s automation technologies, we can help large operators improve both reliability and efficiency,” he said.

LS Electric is the largest player in South Korea’s commercial data center power infrastructure market, holding a 60 percent share. It has signed several deals this year with data center and tech firms.

In September, it signed one of its first deals within the US market, inking a $46 million contract to supply power distribution solutions to a hyperscale artificial intelligence data center project in the US.

It has also signed deals across the Asia Pacific region, including an agreement in July with Naver Cloud to integrate artificial intelligence into its power systems and data center operations.