Schneider Electric Surge Data Centre Boom with Confident 2025 Outlook
Did you know global data centre demand is set to grow by over 10% each year? That’s huge. And one company riding this wave with full confidence is Schneider Electric. As more businesses move to the cloud and AI keeps expanding, the world needs more power, faster connections, and smarter systems.
This is where Schneider takes the lead. They’re not just keeping up, they’re leading the charge. From energy-saving tech to smart automation, they’re making data centres more efficient and eco-friendly. In 2025, they shared a bold outlook. And we think it’s worth a closer look.
Let’s break down how Schneider is growing, where the opportunities are, and why they’re set to grow this year.
Data Centre Demand: The Backbone of Growth
We see data centre demand surging fast. Global energy use for data centres is projected to exceed 1,000 TWh by 2026. AI is central to this growth. Models like Nvidia’s new chips draw up to 132 kW per rack, and even 240 kW is on the horizon. This power need drives demand for infrastructure. Schneider Electric stands at the heart of this demand.
Schneider Electric’s Strategic Positioning
We know Schneider Electric leads in EcoStruxure, its integrated and digital energy-management platform. Its portfolio now includes modular Pod data centres, high-density rack systems, PDUs, and liquid cooling built to support AI workloads up to one megawatt per pod. These are OCP‑inspired, NVIDIA‑compatible solutions. Acquisitions like Motivair bring in in‑rack liquid cooling to boost efficiency further.
2025 Outlook: Confident and Growth‑Oriented
Schneider confirmed its 2025 financial outlook based on strong second‑quarter results. Organic revenue rose by 8.3% to €10.01 billion. Energy management revenues climbed 10% organically. The company reaffirmed an adjusted EBITA margin guidance between 18.7% and 19% despite tariff headwinds. Schneider aims for 7-10% organic revenue growth and a margin improvement of 50-80 bps organically.
Sustainability and Green Data Centres
We all care about the planet. Schneider’s energy‑saving innovations reduce environmental impact. Its liquid cooling systems and modular pods cut power use significantly. EcoStruxure also adds energy analytics to optimize performance. In 2025, its Sustainability Impact program won recognition as the world’s most sustainable company by TIME and Statista.
AI and Automation: Game Changers
Schneider is partnering with Nvidia to design AI‑ready reference architectures. These designs support racks up to 132 kW and reduce cooling energy use by 20% and project delivery time by 30%. Their software, like One Digital Grid, uses AI to optimize grid and data center interplay, boosting efficiency and stability.
Financial Performance and Stock Insights
In 2024, Schneider reported revenue of €38.15 billion and net profit of €4.27 billion, led by its energy management segment, which grew 11.5% organically. Its stock rose roughly 30% over the prior year, helped by strong positioning in the data center market, even with the emergence of lean AI models like China’s DeepSeek. Schneider paid an 11% higher dividend and plans further pricing adjustments to offset tariff effects.
Global Expansion and Key Projects
Schneider is investing $700 million in eight U.S. sites through 2027. These are located in Massachusetts, Texas, Tennessee, Missouri, Ohio, and North Carolina. The plan includes new facilities, R&D labs, and more than 1,000 jobs. This is their biggest U.S. investment ever.
They also moved to full ownership of their India joint venture by acquiring the remaining 35% stake from Temasek for €5.5 billion. India is their third‑largest market, with plans to scale operations 2.5-3×. It generated €2.5 billion in revenue in 2024.
Challenges and Risks
We know risks remain. U.S. tariffs may cost Schneider “a couple of hundred million” euros. The company aims to mitigate that via pricing moves and local manufacturing 83% of its products for North America are made there. Foreign‑exchange shifts also pressure margins, with a recent cut in margin guidance due to currency moves. Competition from ABB, Siemens, and Vertiv is intense. Supply chain limits, especially in copper and components, could slow delivery.
Wrap Up
Schneider Electric holds a strong position in the booming AI- and cloud-driven data centre market. Their innovative cooling, modular design, eco‑friendly platforms, and global investments support a confident 2025 outlook. Schneider is well placed to lead the electrification era with solid financials, strategic growth plans, and sustainability achievements.
Frequently Asked Questions (FAQs)
Schneider Electric expects organic revenue growth of 7-10% in 2025 and an adjusted EBITA margin of 18.7% to 19%, even with impacts from trade tariffs and currency shifts.
Yes. Schneider saw 8.3% organic revenue growth in Q2 2025, with energy management up 10% and continued strong demand in its data‑centre segment.
Disclaimer:
This is for information only, not financial advice. Always do your research.