Japanese company MinebeaMitsumi announced a 58 billion yen ($360 million) investment to expand production of precision bearings used in cooling equipment and storage devices for artificial intelligence (AI) data centers. The expansion aims to meet growing AI-related demand that is spreading beyond semiconductors to a broader range of electronic components.
The company will construct a new facility within an existing manufacturing complex located in either Cambodia or Thailand, both in Southeast Asia. This investment is expected to raise MinebeaMitsumi's bearings production capacity by 30%, supporting the infrastructure needs of AI data centers.
This move highlights the increasing importance of components like precision bearings in the AI ecosystem, particularly for managing the thermal and storage requirements of data centers.
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