A Company Sweeping Up Profits Like Samsung and SK Hynix..."Thanks to Nvidia's Shift in the Power Paradigm"[Weekend Money]

"GE Vernova's New Products to See Sales Materialize Starting Next Year"

As Nvidia presents a new AI data center (AIDC) power paradigm, there are analyses suggesting that this will act as a new growth driver for GE Vernova.

According to iM Securities, “Nvidia’s next-generation AI platform, Rubin Ultra, has been designed based on an 800VDC (800-volt direct current) standard, and the global power supply infrastructure is rapidly reorganizing to accommodate this. GE Vernova is developing semiconductor transformers (SST) and medium voltage uninterruptible power supplies (MV-UPS), among other technologies, in order to meet the 800VDC architecture and high-power requirements of Nvidia-led AIDC power paradigms. With revenue from these product lines expected to materialize starting next year, they are set to become key growth engines for the company.”

Nvidia’s 800VDC ecosystem centralizes AC-DC conversion and separates conversion devices into dedicated cabinets inside the rack to maximize efficiency. This approach can reduce system losses, which in conventional data centers occur as heat dissipation when high-voltage alternating current is received from power plants and transmission networks, and then subjected to transformation, rectification, and voltage reduction to supply direct current.

Within this ecosystem, the next-generation transformer, SST, plays a core role. Unlike traditional coil-wound core transformers, the SST utilizes power semiconductors, performing AC-DC conversion and voltage transformation simultaneously within a single device. The MV-UPS also carries out critical functions, enhancing both electrical efficiency and stability for data centers.

GE Vernova’s performance by business segment is also expanding. The power division’s order backlog increased from USD 34.7 billion at the end of the fourth quarter last year to USD 44.6 billion in the second quarter of this year, driven by expanded investment in the U.S. power grid and rising demand from data centers. Data center-related orders in the second quarter reached USD 2.7 billion, and surpassed USD 5 billion on a cumulative basis in the first half—significantly exceeding last year’s full-year results in this segment.

In the power division, the order backlog is also increasing due to gas turbine supply contracts with global big tech companies. As of the second quarter, the order backlog reached 116 GW (up 16% quarter-on-quarter), consisting of 53 GW in confirmed orders and 63 GW under slot reservation contracts. The average order price in the first half of 2026 was over 20% higher than in the fourth quarter of the previous year. According to iM Securities analyst Lee Sangheon, “With a supplier-driven market, conditions are in place for further increases in sales prices in the future.”

Gas turbine production capacity (CAPA) has also been expanded from 15 GW to 20 GW as of July and has begun operation, with further expansions to 24 GW expected in 2028 and 30 GW in 2030. Analyst Lee emphasized, “With the tangible expansion of gas turbine CAPA and increasing new demand for AI data centers, growth in order volumes will accelerate performance improvements going forward.”

This content was produced with the assistance of AI translation services.