Flex Expands U.S. Manufacturing Capacity to Address Rising Data Center Power Demands

Flex Boosts Manufacturing Capacity to Meet Rising Demand

Flex Ltd. has made significant strides in enhancing its manufacturing capabilities in response to the escalating needs for power solutions within data centers. The company's recent announcement reveals a substantial expansion of its production facilities, particularly at its state-of-the-art center in Columbia, South Carolina. This move is aimed at catering to the surging requirements of data center operators, especially as artificial intelligence adoption continues to grow across various sectors.

On April 28, 2025, Flex (NASDAQ: FLEX) shared details of its initiative to increase production capacity for critical power products, including Databar, Power Distribution Units (PDUs), and Remote Power Panels (RPPs). The expansion is strategically designed to enhance the manufacturing ecosystem for power infrastructure, which is vital in today’s AI-driven world. By reducing lead times for U.S. data centers, Flex is positioning itself as a pivotal player in this high-demand market.

The increased dedicated production area, covering 134,000 square feet, complements the opening of a much larger facility in Dallas, Texas, with a footprint of 400,000 square feet. These facilities are focused on accelerating the production of critical power products, enabling Flex to operate at scale while providing timely solutions to an expanding customer base.

Chris Butler, President of the Embedded and Critical Power Businesses at Flex, highlighted the urgency of addressing the challenges posed by modern computing environments. He stated, “Rapid AI adoption across sectors is increasing data center operators' need for reliable, efficient, and scalable power infrastructure solutions.” This expansion is indicative of Flex's commitment to championing innovation amidst the power challenges of compute-intensive environments, ensuring that customer needs are met as they scale their operations across the United States.

Since fiscal year 2024, Flex has strategically expanded its global manufacturing reach by over eight million square feet. This growth encompasses four new sites, primarily located in the U.S., achieved through targeted acquisitions and organic capacity expansion initiatives.

As of March 31, 2025, Flex boasts an impressive U.S. presence totaling over 13 million square feet across 17 facilities. Coupled with the company’s additional nine million square feet in its Mexican operations, Flex has established one of the largest advanced manufacturing footprints in North America. This extensive reach supports regionalized manufacturing strategies that allow Flex to address the unique needs of its diverse customer base more effectively.

Flex remains committed to sustainability and responsible operations. With its extensive global workforce spanning 30 countries, the firm continually innovates, offering supply chain, technology, and manufacturing solutions across various industries and markets. As the demand for data center power solutions continues to rise, Flex’s strategic expansions serve as a foundation for the future of critical power infrastructure, positioning the company to lead in this essential sector.

In conclusion, Flex's recent manufacturing expansions are both timely and necessary to support the growing power infrastructure requirements driven by the digital transformation influenced by AI. By enhancing its capabilities, Flex empowers data center operators to deliver efficient and reliable services, thereby shaping the future landscape of technology and innovation.