LG Electronics (066570.KS) Stock Surges 6% on Nvidia's 2.6MW Cooling Unit Approval - Blockonomi
by Trader Edge · BlockonomiTLDR
Table of Contents
- LG Electronics shares surged more than 6% in Seoul following Nvidia’s certification of its 2.6-megawatt coolant distribution unit for DSX AI Factory infrastructure
- The cooling system has been added to the Nvidia DSX AI Factory Marketplace and satisfies DSX reference-design standards
- This marks LG’s third Nvidia-certified CDU, adding to previous approvals for 600kW and 1MW cooling systems
- Nvidia classifies the 2.6MW CDU as a “Large-Scale” cooling solution engineered to manage heat from high-density AI server configurations
- The announcement followed LG’s release of a new air-cooled centrifugal chiller targeting AI data center applications just one day earlier
LG Electronics shares advanced 6.2% to 215,000 won during Seoul trading sessions on Tuesday, significantly outpacing the KOSPI benchmark index’s 1.2% gain.
The rally followed LG’s disclosure that Nvidia had approved its 2.6-megawatt coolant distribution unit for integration with the Nvidia DSX AI Factory platform. The cooling system now appears on the Nvidia DSX AI Factory Marketplace.
This represents LG’s most powerful CDU to achieve Nvidia certification. The electronics manufacturer previously secured approvals for 600kW and 1MW cooling units. Nvidia designates the newly certified 2.6MW system under its “Large-Scale” classification.
The 2.6MW CDU is engineered to dissipate thermal output from expansive AI server deployments. It operates by distributing coolant through cold plates mounted directly onto CPUs and GPUs, transferring that thermal energy to the facility’s broader cooling infrastructure.
Chip-to-Chiller Strategy
LG has been developing what the company describes as a “Chip-to-Chiller” product range, encompassing the complete cooling pathway from AI processors to facility-wide heat management. This portfolio spans chillers, computer room air handlers, and liquid-cooling technologies.
According to the company, rack power density in AI data facilities is now climbing into the hundreds of kilowatts range. Such extreme thermal loads exceed the capacity of conventional rack-level cooling approaches, creating demand for megawatt-scale centralized cooling platforms.
LG obtained Nvidia certification for its 600kW CDU in July. Nvidia indicated at that time the product successfully completed over 100 technical evaluation benchmarks, assessing cooling efficiency, reliability standards, and failover functionality.
The 2.6MW cooling system satisfied additional specifications to achieve the “DSX Ready” qualification. This positions it as the highest-capacity certified cooling product in LG’s current portfolio.
Expanding the Portfolio
The certification announcement’s timing was strategic. LG unveiled a new air-cooled centrifugal chiller designed for AI data centers on Monday, just 24 hours before revealing the Nvidia qualification.
LG stated the new certification strengthens its standing as a “first mover in the next-generation liquid cooling market.” The manufacturer indicated plans to continue delivering solutions for expanding AI infrastructure requirements.
Nvidia’s DSX AI Factory platform establishes reference specifications for AI data center infrastructure. Marketplace listing provides LG exposure to data center operators deploying Nvidia-powered AI systems.
The approval expands LG’s presence in AI infrastructure during a period of accelerating demand for high-capacity cooling solutions, driven by increasingly power-intensive AI accelerators.
By early afternoon in Seoul, LG shares had climbed as high as 7.2%, based on Dow Jones market data.
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