Solid-state transformers gain traction as AI data centers drive demand
Rising electricity demand from AI data centers is spurring investment in solid-state power transformers, which use semiconductor switching instead of the century-old copper-coil design of conventional transformers. Unlike traditional units, which are hand-built and face multi-year delivery backlogs, solid-state versions can be mass-produced using materials like silicon carbide, making them smaller, lighter, and modular. Tech companies building AI infrastructure are especially drawn to them because they suit the direct current power setups increasingly used to run dense racks of AI chips.