PepsiCo and Partners Revolutionize Industry with AI and Digital Twin Technology Collaboration

At CES 2026, PepsiCo revealed its innovative partnership with Siemens and NVIDIA—a pioneering collaboration in the realm of digital twin technology and artificial intelligence (AI). This three-way alliance aims to enhance plant and supply chain operations at PepsiCo by leveraging advanced computing technologies to create highly accurate digital models of their manufacturing processes.

As industries face increasing demands for production and distribution, PepsiCo recognizes the need to optimize its operations. The traditional methods of physical expansion can be both slow and costly, introducing limitations in terms of agility and adaptability. The partnership's objective is to implement AI and digital twin solutions that will accelerate the company's ability to reengineer and refine its existing manufacturing footprint.

Ramon Laguarta, Chairman and CEO of PepsiCo, emphasized the monumental scale of the company, spanning from agriculture to retailers. He expressed that embedding AI across their operations is essential to keep up with dynamic consumer demands. The companies are implementing physics-based digital twins and AI agents that serve as collaborative designers, allowing for the simulations and validations of facility layouts before physical construction occurs.

This strategy leverages Siemens' Digital Twin Composer, utilizing NVIDIA’s Omniverse libraries to replicate facility layouts, enabling PepsiCo to evaluate operational upgrades in the U.S. The collaborative effort represents a transformative advancement in how companies engage digital twins.

Jensen Huang, CEO of NVIDIA, remarked that physical industries are now entering an AI-driven era. With the aid of digitally constructed twins, companies can lay a foundation for their AI journeys by creating accurate representations of real-world systems. The capabilities offered through this collaboration will enable PepsiCo to innovate how they optimize and operate their global supply chains.

The partnership is also set to digitize select manufacturing and warehouse facilities in the U.S., transforming them into high-fidelity 3D digital twins that simulate operations and supply chain processes. This initiative has already had immediate impacts; teams have optimized new configurations rapidly, leading to significant increases in throughput and operational efficiencies. Reports indicate that some facilities achieved a 20% increase in throughput following these digital transformations.

“By deploying a digital blueprint that reimagines how the supply chain is constructed, we're setting a new standard in the industry,” said Athina Kanioura, CEO of Latin America and Global Chief Strategy Transformation Officer at PepsiCo. With a unified, AI-empowered groundwork, PepsiCo aims to facilitate plants and warehouses that not only react to demand but proactively adjust to it.

The official announcement at CES 2026 signified PepsiCo's deep commitment to innovation and digital transformation in the manufacturing sphere. It highlights the synergy of Siemens’ prowess in industrial AI and digital twin technologies combined with NVIDIA’s expertise in high-level computations and visualizations. Together, they aim to catalyze a substantial evolution in the industrial operations sector.

PepsiCo, a global leader in food and beverage, operates in over 200 countries, with a diverse product portfolio boasting iconic brands. The company generated nearly $92 billion in net revenue in 2024, focusing on sustainable growth through its pep+ initiative that works to integrate sustainable practices across its operations. This collaboration not only enhances efficiency but also aligns with PepsiCo's commitment to sustainability, propelling the company towards a resilient future.

For more insights on this landmark collaboration and PepsiCo's journey into digital innovation, stay connected through their official channels and social media platforms.

Topics Consumer Technology)

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