Demand for Electrical Grid Equipment Driving New Manufacturing Investments
How much do you pay for electricity where you live? Have you noticed the price of power steadily increasing over the last several years? In addition to pain at the gas pump and grocery store checkout line, many Americans also dread the monthly electric bill arriving in the mail.
In many areas across the country, the worries over utility rates and natural resource consumption are just beginning, as artificial intelligence (AI) companies seek to build hundreds of large data centers in a wide variety of states.
Opponents of new data centers argue that current electrical grids in many areas are simply not designed to meet the tremendous power demands of hyperscale data centers. Not only do they fear higher utility costs, but many people also worry about the likelihood of extended blackouts in case of severe weather.
Regardless of the political outcome of the many challenges to proposed data centers, the debates that have been sparked have shone a bright light on a critical issue: the stability and sufficiency of our current electrical grids.
In fact, many areas are already taking positive steps to upgrade their electrical grids for whatever the future may hold. These necessary improvements are driving increased investment in the manufacturing of equipment specifically designed for electrical power generation.
According to a DC Velocity article, “[e]nergy products manufacturer GE Vernova will expand its Pittsburgh manufacturing facility to provide more equipment for the U.S. grid supply chain.” Specifically, “[t]he company will modernize and expand its power transmission manufacturing facility in Charleroi, Pennsylvania, which produces high-voltage circuit breakers, switchgear products, and instrument transformers.”
GE Vernova believes these “upgrades will help to shorten lead times for critical grid components, enabling utilities to connect new energy-intensive demand, including data centers, to the grid more quickly and reliably.”
The company notes that “[t]he expansion is part of a $138 million investment in the Charleroi facility and is expected to create approximately 275 new high-skilled manufacturing jobs including wiring technicians, mechanics, test technicians, logistics coordinators, and supply chain specialists.”
Likewise, a Reuters article by Tim McLaughlin reports that “Heron Power…plans to build a $100 million factory in California to make advanced transformers for the U.S. electric grid.” The new facility will “produce Heron Link, a 5-megawatt medium-voltage power conversion system for large-scale energy and data-center projects.”
McLaughlin notes that “Heron CEO Drew Baglino…hopes to capitalize on the U.S. power grid’s rapid transformation as booming demand from data centers, electric vehicles and heat pumps tests the limits of generation and transmission infrastructure, unprepared for the electrification of large parts of the economy.”
There’s definitely a disconnect between the current state of most electrical grids and what’s needed for the future: “As U.S. Energy Department officials noted during a March meeting, much of the U.S. grid still relies on 1960s and 1970s engineering and infrastructure…Meanwhile, the power industry is expected to spend $1 trillion over the next decade building new power plants, renewable resources, battery charging facilities and high-voltage transmission lines.”
As municipalities and power generation equipment manufacturers look to the future, it’s clear that workers with advanced electrical skills will be in high demand. How do companies and schools train the next generation of professionals with the electrical skills they need to succeed in the modern workplace? A thorough review of training systems is a great place to start.
Do employees and students have access to hands-on training with actual components they’ll encounter on the job? If not, partnering with established companies to provide industrial-quality training systems that will stand the test of time will help ensure a competent workforce.
Be sure to check out DAC Worldwide’s variety of hands-on electrical training systems that feature the real-world components workers will encounter in the field. For example, companies in the power generation space could benefit from DAC Worldwide trainers focused on the skills their employees need, such as:
- Transformer Wiring Training System (408-000): a realistic training device that replicates the conditions and circumstances that an electrical worker encounters when making common power transformer connections in the field and industry. This self-contained, tabletop training system provides a safe, inexpensive, yet realistic alternative to paper-based learning without the danger of full-voltage field experience.
- Transformer Connections Training System (491-000): replicates the conditions and circumstances that a utility worker encounters when making common transformer connections in the field. Using this trainer, learners will explore the skills that an operator must master to confidently operate modern generating equipment, such as the paralleling of generators and connecting to a larger power grid.
- Electrical Generation Fundamentals Training System (490-000): represents a true simulator depicting multiple power plants on a grid. The unit basically acts as the control center for a generating station and simulates four separate generating units. The system demonstrates the principles of generator operation and represents the relationships that an operator must master to confidently operate generators.
Be sure to check out the links above and contact DAC Worldwide to consult with an expert today!
- Published in News
New Transformer Manufacturing Facility Coming to Virginia
Does it ever feel like, if it weren’t for bills, you’d get no mail at all? With so much of our lives online these days, it can certainly seem that way. If you’re like a lot of people, the one bill you dread more than any other is the monthly electricity bill.
Across the country, utility bills have been steadily rising for years, and there doesn’t seem to be any relief in sight. Now, with every technology company out there trying to build multiple data centers, it’s clear that the modern electrical grid is going to be put to the test and, unfortunately, regular consumers are likely to bear the brunt of these growing pains.
While no one wants to pay more for electricity because of data center demand for power, the larger worry may actually be the potential for increased power outages as grids are stretched to their breaking point and beyond. Power outages can be dangerous, especially during a heat wave, and no one wants rolling blackouts to become the norm.
Fortunately, there are companies out there who are thinking about and preparing for the future. According to a Power Technology article by Anwesha Pattanaik, Hitachi Energy will soon begin building a new manufacturing facility in Virginia.
Pattanaik notes that “[t]he new facility will manufacture large power transformers, equipment considered crucial for the country’s electric grid infrastructure. According to Hitachi, these transformers will help support transmission, generation, data centers and industrial clients across the US.”
This expansion of its Virginia operations will “nearly double its local workforce.” In fact, “[t]he project includes a focus on the workforce, with plans for amenities such as on-site fitness and recreational facilities, a cafeteria, a health clinic and shared spaces.”
Of course, finding the highly skilled workers they need to work at this new facility may be the most difficult problem the project faces. Across the country, manufacturers of all types are struggling to find the skilled workers they need to work in new manufacturing facilities that feature advanced automation technologies.
How do companies and schools train the next generation of professionals with the electrical skills they need to succeed in the modern workplace? A thorough review of training systems is a great place to start.
Do employees and students have access to hands-on training with actual components they’ll encounter on the job? If not, partnering with established companies to provide industrial-quality training systems that will stand the test of time will help ensure a competent workforce.
Be sure to check out DAC Worldwide’s variety of hands-on electrical training systems that feature the real-world components workers will encounter in the field. For example, companies in the power generation space could benefit from DAC Worldwide trainers focused on the skills their employees need, such as:
- Transformer Wiring Training System (408-000): a realistic training device that replicates the conditions and circumstances that an electrical worker encounters when making common power transformer connections in the field and industry. This self-contained, tabletop training system provides a safe, inexpensive, yet realistic alternative to paper-based learning without the danger of full-voltage field experience.
- Transformer Connections Training System (491-000): replicates the conditions and circumstances that a utility worker encounters when making common transformer connections in the field. Using this trainer, learners will explore the skills that an operator must master to confidently operate modern generating equipment, such as the paralleling of generators and connecting to a larger power grid.
- Electrical Generation Fundamentals Training System (490-000): represents a true simulator depicting multiple power plants on a grid. The unit basically acts as the control center for a generating station and simulates four separate generating units. The system demonstrates the principles of generator operation and represents the relationships that an operator must master to confidently operate generators.
Be sure to check out the links above and contact DAC Worldwide to consult with an expert today!
- Published in News
Lockout/Tagout Skills More Critical than Ever as Electrification Expands
With the United States celebrating 250 years of freedom this year, it’s only natural to look back at the Founding Fathers and their impact on our modern society. While many people—men and women both—laid the foundations of the society we enjoy today, perhaps none was more influential than Benjamin Franklin.
In addition to being the only person to sign all three of the fundamental documents creating the United States, Franklin established himself as an intellectual force known as much for his inventions and scientific discoveries as he was for his political acumen.
Franklin invented bifocals, a stove, swim fins, and even a musical instrument. However, our undying gratitude was earned the day he decided to fly a kite in a thunderstorm, thereby proving that lightning is electricity.
Others picked up the torch from Franklin to bring us into the electrical age. Thomas Edison mastered direct current and helped to bring electricity into homes and businesses, while Nikola Tesla perfected alternating current to bring the modern electrical grid to life.
Can you imagine a world without electricity? We certainly wouldn’t have the Internet or artificial intelligence (AI) if we still relied upon candles to light the way. While it might seem like electricity is yesterday’s news, given its discovery and development hundreds of years ago, experts know that it’s still the bedrock of the latest technologies.
In fact, electrification is expanding today, as a whole host of new technologies map out new applications for electricity. Electric vehicles (EVs), battery energy storage systems (BESS), and renewable energy projects involving both solar and wind power are proving that electricity—and capable technicians with hands-on electrical skills—are more important than ever.
As manufacturers, industry experts, and utility companies search for workers with the advanced electrical skills they need, it’s becoming evident that foundational safety knowledge and skills are also critical to success.
For example, in an Occupational Health & Safety article, author Stasia DeMarco notes that “[t]he National Fire Protection Association (NFPA) is urging employers and workers to prioritize electrical safety as part of National Electrical Safety Month, citing growing risks tied to an increasingly electrified workplace.”
DeMarco points out that “[a]s industries adopt new technologies such as electric vehicles, battery storage systems and renewable energy infrastructure, safety professionals face evolving hazards, including arc flash incidents, energized equipment exposure and complex maintenance environments.”
The NFPA believes “the shift underscores the need for updated training, hazard assessments and adherence to established safety standards.” In fact, “[t]he organization emphasized the importance of following safe work practices, including proper lockout/tagout procedures, use of appropriate personal protective equipment and ensuring only qualified workers perform electrical tasks.”
DeMarco concludes: “Electrical incidents continue to pose serious dangers across industries, particularly in construction, manufacturing and utilities, where workers are routinely exposed to energized systems. NFPA said ongoing education and awareness efforts are critical to preventing injuries and fatalities as electrical systems become more widespread and complex.”
Speaking of ongoing education and proper lockout/tagout procedures, employers looking to improve safety training should partner with established companies to provide industrial-quality training systems that will stand the test of time.
For example, DAC Worldwide offers two safety training systems specifically designed to give employees the hands-on experience they need to master lock-out/tag-out skills:
- DAC Worldwide Lock-Out/Tag-Out Training System
- DAC Worldwide Electrical Lock-Out/Tag-Out Training System
Be sure to check out these training systems and contact a DAC Worldwide representative to learn how you can improve your training today!
- Published in News
Can Manufacturers Keep Up with Data Center Demand?
Not since the Internet have we as a society seen a technological revolution quite like what we’re seeing today with artificial intelligence (AI). While some people are certainly more affected by AI than others, it’s nearly impossible to not have been impacted by AI in some way, shape, or form.
For many people, the impact of AI has been felt most directly at work—if they still have a job, that is. Indeed, implementation of AI has been responsible for many people being replaced by computers and algorithms. For those who still have a job, they’re increasingly being asked to use AI tools to help them do their jobs more efficiently.
If your job hasn’t been impacted by AI, you’re certainly not off the hook. If you use social media, you’ve almost certainly been bombarded with AI-generated images and videos, from cartoonish profile pictures to local business advertisements.
Ironically, small business owners who turn to AI to help them generate advertisements, menus, flyers, etc. in the hope of standing out from the crowd ultimately end up looking like every other small business that’s doing the same thing.
The other major impact being felt by communities large and small is the proliferation of AI data centers across the country. As demand for AI grows, the companies behind the technology need exponentially more computing power delivered via dedicated data centers.
Unfortunately, those data centers have come under fire for their use of tremendous amounts of resources, such as water and electricity. Some communities are organizing protests against new data centers, forcing AI companies to change course and look for new areas that might welcome their data centers.
Despite the recent uptick in anti-AI sentiment, AI companies are forging ahead with their plans to build new data centers at a breakneck pace. While communities worry about resource usage, there’s another industry that’s having trouble keeping up with the demands of increasing numbers of data centers: manufacturing.
According to an Industry Week article by Geert De Lombaerde, “[t]he data center boom has been showing up in the manufacturing sector for several quarters now as demand has risen rapidly for steel racks, cooling systems and electrical gear.”
De Lombaerde shares insights from the leaders of Carrier and BorgWarner regarding “the rapid growth they’re seeing and the investments they’re making—and likely need to add to.” For example, “Carrier’s Dave Gitlin said they are recalibrating on the fly just how big their businesses serving data centers could be.”
How big is big? “Gitlin told attendees that Carrier’s data center work making heat management systems, which his team had initially estimated would book $1.5 billion in sales this year, has been ‘phenomenal’ so far. The company is ‘certainly pushing’ to top that number…and its biggest issue ‘is just keeping up.’”
Likewise, BorgWarner President and CEO Joe Fadool notes that they are “applying the company’s extensive history in automotive power electronics and software to the making of equipment for power generation, battery storage and voltage conversion.”
For example, BorgWarner “plans to start making modular turbine generators in Hendersonville, North Carolina, next year. ‘You’re talking about high volume with very high-quality requirements, a very competitive space in automotive,’ he said. ‘That cuts across all three of these [generation, storage and conversion], which allows us to sort of accelerate the disruption.’”
How can manufacturing catch up with the AI data center gold rush? For starters, they’re going to need to hire hundreds of thousands of highly skilled workers to fill the open positions they already have. Unfortunately, that’s easier said than done.
Thanks to an ongoing shortage of skilled workers in the trades, manufacturers continue to face major challenges finding enough workers to fill the roles they need to grow and thrive. So how do companies and schools train the next generation of professionals with the hands-on skills they need to succeed in the modern workplace?
A thorough review of training systems is a great place to start. Do employees and students have access to hands-on training with actual components they’ll encounter on the job? If not, partnering with established companies to provide industrial-quality training systems that will stand the test of time will help ensure a competent workforce.
When it comes to preparing for the continued expansion of AI data centers, manufacturers need to ensure they have a sufficient supply of workers who have advanced skills in areas like electrical and HVACR. Fortunately, a seasoned training equipment provider like DAC Worldwide can pave the way for a successful training program.
For example, DAC Worldwide offers a variety of hands-on electrical training systems that feature the real-world components workers will encounter in the field:
- Transformer Wiring Training System (408-000): a realistic training device that replicates the conditions and circumstances that an electrical worker encounters when making common power transformer connections in the field and industry. This self-contained, tabletop training system provides a safe, inexpensive, yet realistic alternative to paper-based learning without the danger of full-voltage field experience.
- Transformer Connections Training System (491-000): replicates the conditions and circumstances that a utility worker encounters when making common transformer connections in the field. Using this trainer, learners will explore the skills that an operator must master to confidently operate modern generating equipment, such as the paralleling of generators and connecting to a larger power grid.
- Electrical Generation Fundamentals Training System (490-000): represents a true simulator depicting multiple power plants on a grid. The unit basically acts as the control center for a generating station and simulates four separate generating units. The system demonstrates the principles of generator operation and represents the relationships that an operator must master to confidently operate generators.
DAC Worldwide also offers a variety of hands-on HVACR cutaway training tools that consist of real-world components that have been carefully sectioned to allow learners to see each device’s primary components—inside and out. Examples available include:
- Air Filter Cutaway (273-240): consists of a real industrial air filter that has been carefully sectioned to show the complete internal configuration and construction of this common industrial component. Learners can use this cutaway to enhance training related to the operation, construction, and maintenance of industrial air filters.
- Semi-Hermetic Compressor Cutaway (373-120): consists of an expertly sectioned example of a common intermediate (1”-1 ½”) horsepower semi-hermetic refrigeration compressor that facilitates and supports practical training in compressor design, operating principles, and maintenance.
- Open Drive Refrigeration Compressor Cutaway (373-140): consists of an expertly sectioned example of a classic open drive-type reciprocating refrigeration compressor. The training device facilitates and supports industrial learning in the design, operating principles, and maintenance of refrigeration compressors.
Be sure to visit DAC Worldwide online to learn more about its comprehensive selection of industrial training systems and tools!
- Published in News
Power Transformer Manufacturer Expands Operations
Is there an artificial intelligence (AI) data center headed to a community near you sometime soon? At the rate AI data centers are popping up across the country and around the globe, there’s a better than average chance you’re already familiar with the heated debates new data center announcements bring with them.
While local and state governments often welcome new data centers with open arms—and big tax breaks—the residents in nearby communities frequently raise concerns about the natural resources these facilities consume, as well as the impact they have on the environment and utility rates.
The proliferation of AI data centers in recent years has made it somewhat common knowledge that these cutting-edge computing facilities consume enormous amounts of water and electricity. After all, all that computing power working 24/7 generates a lot of heat and components must be kept cool to work at peak efficiency.
Unfortunately, aging electrical grids and shortages of advanced power generation equipment have left many areas struggling to accommodate the demands of new data centers. That’s why manufacturers of such equipment are expanding operations, increasing the need for highly skilled workers with advanced electrical skills.
According to an AL.com article by William Thornton, Hyundai Power Transformers USA recently “announced a $200 million expansion of its Montgomery [Alabama] manufacturing operations,” a move that “will create about 200 jobs and significantly increas[e] the factory’s domestic production capacity for large power transformers.”
In addition to boosting production capacity, the new facility “will be able to manufacture even larger transformer units in the United States. This comes at a particularly crucial time, the company says, as about 70% of the nation’s large power transformers are currently in need of replacement.”
Hyundai Power Transformers USA’s expansion plan underscores the ongoing need for more skilled workers with basic to advanced electrical skills. Unfortunately, the ongoing industrial skills gap issue means that workers with advanced electrical skills remain in high demand with supply lagging behind.
This creates a challenge for industries across the country and around the world. How do companies and schools train the next generation of professionals with the electrical skills they need to succeed in the modern workplace?Top of FormBottom of Form
A thorough review of training systems is a great place to start. Do employees and students have access to hands-on training with actual components they’ll encounter on the job? If not, partnering with established companies to provide industrial-quality training systems that will stand the test of time will help ensure a competent workforce.
Be sure to check out DAC Worldwide’s variety of hands-on electrical training systems that feature the real-world components workers will encounter in the field. For example, companies in the power generation space could benefit from DAC Worldwide trainers focused on the skills their employees need, such as:
- Transformer Wiring Training System (408-000): a realistic training device that replicates the conditions and circumstances that an electrical worker encounters when making common power transformer connections in the field and industry. This self-contained, tabletop training system provides a safe, inexpensive, yet realistic alternative to paper-based learning without the danger of full-voltage field experience.
- Transformer Connections Training System (491-000): replicates the conditions and circumstances that a utility worker encounters when making common transformer connections in the field. Using this trainer, learners will explore the skills that an operator must master to confidently operate modern generating equipment, such as the paralleling of generators and connecting to a larger power grid.
- Electrical Generation Fundamentals Training System (490-000): represents a true simulator depicting multiple power plants on a grid. The unit basically acts as the control center for a generating station and simulates four separate generating units. The system demonstrates the principles of generator operation and represents the relationships that an operator must master to confidently operate generators.
- Published in News
Workplace Fatalities Fall for Second Year in a Row
Do you fear for your life each day when you head to work? No, this isn’t a joke with Monday or your boss as the punch line. Thousands of people die each year due to injuries suffered on the job. Do you have the type of job with inherent safety risks?
Some jobs obviously tend to be more dangerous than others. Lion tamers and offshore oil rig workers jump to mind. However, the millions of people who work in modern manufacturing facilities can also find themselves surrounded by equipment that can kill if not handled properly.
For example, workers maintaining equipment can be seriously injured from the unexpected energization of, release of stored energy from, or startup of equipment. That’s why mandatory safety training, such as those related to lock-out/tag-out procedures, is so critical.
Lock-out/tag-out rules establish standards for the shutdown of equipment, so that energy sources can be isolated to prevent the release of potentially hazardous energy during routine maintenance activities. Following proper lock-out/tag-out procedures helps workers to avoid preventable workplace accidents and injuries.
Fortunately, it appears that a focus on safety training nationwide is working. A recent EHS Today article reports that “[t]he U.S. Bureau of Labor Statistics’ [BLS] 2024 fatal occupational injuries data showed 5,070 worker deaths – a second consecutive year of decline.”
NSC CEO Lorraine Martin claims that “[t]his progress shows that when employers focus on serious injury and fatality risks, invest in prevention and build strong safety cultures, lives are protected.” However, she believes that “5,070 deaths in a single year is still 5,070 too many. We must accelerate proven strategies that address the highest-risk exposures and ensure every worker gets home safe.”
To put these statistics in perspective, BLS data shows:
- “The fatal work injury rate was 3.3 fatalities per 100,000 full-time equivalent (FTE) workers in 2024, a decrease from a rate of 3.5 in 2023.”
- “A worker died every 104 minutes from a work-related injury in 2024 compared to 99 minutes in 2023.”
- “Workers in transportation and material moving occupations represented the occupational group with the most fatalities with 1,391 fatal work injuries in 2024, though this was a 7% decrease from 2023 (1,495).”
How can manufacturers get the total of workplace fatalities down to zero? There’s simply no substitute for thorough, effective safety training for every worker before setting foot on the shop floor. For manufacturers without significant experience setting up a safety training program, it can help to partner with established companies to provide industrial-quality training systems that will stand the test of time.
For example, DAC Worldwide offers two safety training systems specifically designed to give employees the hands-on experience they need to master lock-out/tag-out skills:
- DAC Worldwide Lock-Out/Tag-Out Training System
- DAC Worldwide Electrical Lock-Out/Tag-Out Training System
Be sure to check out these training systems and contact a DAC Worldwide representative to learn how you can improve your training today!
- Published in News
Electrical Outages Costing Manufacturers Time and Money
This winter, a series of storms has battered states from coast to coast, dumping feet of snow and ice and generally wreaking havoc in a variety of ways. Were you impacted by any of the storms? When the forecast calls for snow and ice, what do you worry about most?
For some, it’s the potential impact on their daily commute that leads to sleepless nights. Others, though, might worry more about how they’ll survive an extended power outage if snow and ice cause a widespread power outage.
While it’s natural for individuals to worry about the personal impact of severe weather, many people don’t realize how these storms affect businesses. While it’s much rarer for a business to close than it is for a school, for example, it’s clear that significant power outages are costing manufacturers across the country both time and money.
According to a Manufacturing.net article by Chris Daly, “[e]lectricity interruptions are on the rise across the United States…In fact…electricity customers throughout the U.S. witnessed 11 hours of power outages on average during 2024.”
Is this significant? It certainly is when you consider that “there were around four hours of electricity interruptions per year on average between 2014 and 2023. As a result, last year saw almost twice as many power outages as the average recorded each year for the past decade.”
While an electrical outage might interrupt your favorite Netflix show for a few hours, the ramifications are more serious for manufacturers. As Daly notes, “[a] single electricity interruption runs the risk of powering down operations and causing production line processes to fall out of sync, resulting in a loss of material and profits.”
How much loss? Donna McGinnis, Director of Marketing at Briggs & Stratton Energy Solutions, estimates that “up to $1 million of manufacturing losses can be recorded during each hour that production is disrupted by a power outage.”
What are manufacturers to do? It seems like severe weather conditions are occurring with increasing frequency each year. When you add the strain of new artificial intelligence (AI) data centers popping up across the country, further burdening electrical grids, it’s clear that things could get worse before they get better.
Daly believes that “[b]usinesses throughout the U.S. need to realize the prospect of experiencing more power outages. This point was emphasized by the Department of Energy, when it recently warned that blackouts may increase by 100x by the year 2030 if reliable power sources continue to be shuttered and extra firm capacity fails to be added to the nation’s energy array.”
Daly recommends that manufacturers investigate the use of onsite generators and portable power banks to minimize the impact of power outages. However, it’s clear that larger solutions targeted at strengthening electrical grids will also be necessary.
All of this underscores the ongoing need for more skilled workers with basic to advanced electrical skills. Unfortunately, the ongoing industrial skills gap issue means that workers with advanced electrical skills remain in high demand with supply lagging behind.
This creates a challenge for industries across the country and around the world. How do companies and schools train the next generation of professionals with the electrical skills they need to succeed in the modern workplace? A thorough review of training systems is a great place to start.
Do employees and students have access to hands-on training with actual components they’ll encounter on the job? If not, partnering with established companies to provide industrial-quality training systems that will stand the test of time will help ensure a competent workforce. Be sure to check out DAC Worldwide’s variety of hands-on electrical training systems that feature the real-world components workers will encounter in the field!
- Published in News
Texas Becoming Nexus of AI Data Centers
Has artificial intelligence (AI) affected your day-to-day life yet? If it has, then you already know how prevalent this technology has become in a short time. If it hasn’t, well, you may just not realize it yet, as AI seems to have infiltrated nearly every aspect of technology.
AI apps, like ChatGPT and Grok, have become go-to resources for a wide variety of users, from students looking for help with homework to workers seeking assistance with basic job functions. Apps like these, though, are just the tip of the iceberg. AI “engines” are being used to power things behind the scenes in many different types of technology.
The rise of AI has resulted in a race for dominance. Every big tech company is in the race, but it’s unclear where the finish line is, what awaits the winner, or what it will take to get there. These uncertainties aren’t dampening the spirits—or investments—of these companies in AI, though.
In many cases, the race currently takes the form of a rush to build as many large AI data centers as possible. Locations throughout the United States have been targeted for new AI data centers, leading to pushback in many communities over the resources, including water and electricity, that these facilities require.
It’s true that AI data centers require an enormous amount of electricity and water to run their rooms full of supercomputers. In areas where electrical grids are already overtaxed, residents have valid concerns about the effect AI data centers will have on their already-strained resources. At least one project, however, may be taking a new approach to allay some of those concerns.
In an article in The Wall Street Journal, author Bradley Olson reports that a small portion of a sprawling ranch in West Texas will soon be home to a giant new AI data center being planned by AI startup Poolside in conjunction with cloud-infrastructure provider CoreWeave.
What’s different about this AI data center is that the partners chose the location because the complex will be “capable of generating its own power.” “[L]ocated in the heart of the fracking boom,” the site will “take advantage of natural gas produced in the Permian Basin, the epicenter of U.S. drilling activity.”
According to Olson, “Poolside and CoreWeave…are betting that the proximity to natural-gas resources could reduce costs and improve the long-term viability of the data center, as many planned facilities across the U.S. have been built without power generation capabilities.”
The companies plan “to use an on-site gas plant built years ago by Occidental Petroleum and other infrastructure including pipelines will make it possible for the data center to generate its own power.” This could be a game changer, since Olson notes that it’s “far from certain whether many data centers will have sufficient power and water to operate without becoming a significant strain on local resources.”
One thing Olson does not touch upon, but which is another scarce resource that AI data centers will put a strain upon is the supply of skilled workers to build and operate these facilities. In the case of the planned facility in West Texas, workers will be needed that have a wide variety of skills in both the oil and gas sector and electricity and power generation.
How do companies and schools in these areas train the next generation of professionals with the electrical and oil and gas skills they need to succeed in the age of massive AI data centers? Fortunately, there are already companies they can partner with to develop the training programs that will provide workers with the hands-on skills they need to succeed.
For example, DAC Worldwide provides a variety of hands-on training systems for both electrical and oil and gas training:
Be sure to check out DAC Worldwide’s training systems that feature the real-world components workers will encounter in the field!
- Published in News
AI Driving Investments by Energy Giant
What comes to mind when you think about utility companies? For many people around the country, images of coal-fired power plants and tall wooden poles strung with long wires might be top of mind. What likely doesn’t come to mind is advanced technology, like artificial intelligence (AI).
However, it’s technologies like AI that are top of mind for many leaders in the energy and public utility sectors. Why? The data centers being built to expand the powers and capabilities of AI use tremendous amounts of power that threaten to undermine the security and stability of already-overburdened electrical grids in many areas.
Those tasked with ensuring the future of our energy supply must adjust their focus and priorities to align with the changes being wrought by new technologies like AI. For example, in an article in The Dallas Morning News, author Lana Ferguson notes that energy giant Schneider Electric recently announced “plans to invest more than $700 million in its U.S. operations through 2027.”
This huge investment will “support the country’s focus on bolstering the nation’s energy infrastructure to power AI growth, boost domestic manufacturing, and strengthen energy security.” Specifically, “[t]he money will go toward manufacturing expansions and creating more than 1,000 new jobs, with roles such as next-generation manufacturing professionals, engineers, developers and technical analysts.”
Schneider Electric expects its investment to “bolster ‘smart factory transformation’ across several states that include Texas, Massachusetts, Tennessee and Missouri.” Officials are hopeful that other key players will follow suit with their own investments.
According to Aamir Paul, president of North America Operations for Schneider Electric, “[w]e stand at an inflection point for the technology and industrial sectors in the U.S., driven by incredible AI growth and unprecedented energy demand. To lead the transformation ahead, we must be agile and act now to advance ambitious digitalization and efficiency goals to make an impact for generations to come.”
National Association of Manufacturers (NAM) President and CEO Jay Timmons lauded these plans: “Schneider Electric’s significant investment is a clear sign that manufacturing in America is moving forward — driving economic growth, innovation and job creation across the country. By expanding their operations with a focus on energy security, automation and AI, Schneider Electric is not only strengthening America’s competitiveness but also creating new opportunities and powering our nation’s future.”
As energy giants like Schneider Electric invest and expand, there’s one challenge they’re sure to encounter immediately: a shortage of highly skilled workers with advanced electrical and automation skills. How do companies and schools train the next generation of professionals with the electrical skills they need to succeed in the modern workplace?Top of Form
Bottom of Form A thorough review of training systems is a great place to start. Do employees and students have access to hands-on training with actual components they’ll encounter on the job? If not, partnering with established companies to provide industrial-quality training systems that will stand the test of time will help ensure a competent workforce. Be sure to check out DAC Worldwide’s variety of hands-on electrical training systems that feature the real-world components workers will encounter in the field!
- Published in News
Room for Improvement in Workplace Safety
“Safety first!” If you work in the manufacturing sector, you’ve probably seen and heard that phrase a million times. And there’s nothing wrong with that. No one wants to work in a facility that puts them at risk of serious injury or even death.
Unfortunately, too many workers do suffer workplace injuries every year. The number and severity of these injuries remain a constant reminder that there’s always room for improvement when it comes to workplace safety.
In a recent EHS Today article, author Adrienne Selko notes that “US businesses need to ‘do significantly better’ in supporting workplace safety, according to a recent survey from BSI.” BSI’s Xavier Alcaraz notes that “[w]e’ve normalized a culture where…’safety first’ is promoted but supervisors look the other way when deadlines are at risk.”
Things don’t have to stay that way, however. Workers deserve better. BSI offers some practical advice for manufacturers seeking to improve workplace safety:
- “Safety culture: Foster an environment where safety is a systems-driven core value, encouraging reporting of potential hazards and near-misses without fear of reprisal. This contributes to both physical safety as well as psychological safety.”
- “Adopt a management systems approach for health and safety that emphasizes continuous improvement.”
- “Align safety goals with business goals.”
- “Safety training: Provide comprehensive safety training, including proper use of equipment, emergency procedures, and hazard recognition.”
That last suggestion is an important one that too many companies ignore. Of course, not all companies prioritize safety like they should, but even those wanting to improve don’t always know how to go about adequately training workers.
For companies looking to improve their safety training, partnering with established companies to provide industrial-quality training systems that will stand the test of time will help ensure the continued safety of the workforce.
For example, DAC Worldwide offers two safety training systems specifically designed to give employees the hands-on experience they need to master lock-out/tag-out skills:
- DAC Worldwide Lock-Out/Tag-Out Training System
- DAC Worldwide Electrical Lock-Out/Tag-Out Training System
Be sure to check out these training systems and contact a DAC Worldwide representative to learn how you can improve your training today!
- Published in News
DAC Worldwide Offers Hands-On Electrical Generation Fundamentals Training
Industrial facilities know how important electrical skills are to ensuring that things run smoothly and safely. What many people don’t know, however, is how diverse electrical skills can be. While basic electrical skills, such as wiring a circuit or troubleshooting a transformer, are extremely valuable and quite common, some facilities require specialized advanced electrical skills, such as those relating to power generation and managing multiple power plants on an electrical grid.
For example, one industry that’s currently booming will likely lead to a need for workers with advanced electrical skills related to power generation. Which industry are we talking about? Semiconductor manufacturing!
According to a recent article in The Register, author Tobias Mann notes that “AMD president Victor Peng addressed [at the recent Hot Chips Conference] one of the biggest challenges facing the semiconductor industry as it grapples with growing demand for ever larger AI models: power.”
How big is the challenge facing the semiconductor manufacturing industry? Mann points out that “AI’s seemingly insatiable thirst for power has gained considerable attention over the past year – so much so that some operators have begun setting up shop next to nuclear power plants. And the problem isn’t going to get easier.”
According to Mann, Peng has expressed worry about “finding enough power sources and being concerned about the grids and the distribution.” In fact, Mann notes that Peng has “noted that these [AI] models have very quickly gone from requiring hundreds of megawatt hours to train to hundreds of gigawatt hours.”
How do you address such a large-scale challenge? “Peng argues that the semiconductor industry needs to focus more attention on making the infrastructure not only more performant, but more efficient.” Indeed, the burgeoning semiconductor manufacturing industry must bring together all the players necessary to craft large-scale infrastructure solutions that ensure that the electrical grids of tomorrow will be able to support the demands of new technologies.
Addressing fundamental electrical generation challenges will require highly skilled workers who possess advanced electrical skills related to power generation. Hands-on training in electrical generation fundamentals can elevate workers’ skills to the next level.
For example, DAC Worldwide’s Electrical Generation Fundamentals Training System (490-000) represents a true simulator depicting multiple power plants on a grid. The unit basically acts as the control center for a generating station and simulates four separate generating units. The system demonstrates the principles of generator operation and represents the relationships that an operator must master in order to confidently operate generators.
Practice in paralleling machines of various sizes is easily accomplished without tying up the plant simulator. The synchroscope display includes a phase angle display, representing the phase difference between running and incoming.
A graphic representation of how load is shared, by two machines of various sizes, is shown by a house curve. The relationship between real load and reactive load is displayed by meters and by a pictorial diagram of the power triangle on the graphic display. Inductive, resistive, and capacitive loads can be turned on and off reinforcing the effects of reactive load and demonstrating how power factor can be changed.
Users will study topics, such as AC generators, reactive power control, loss of load, and trainer operation. They will also practice hands-on skills, such as correctly performing paralleling operation, generator responses to inductive/resistive/capacitive loads, calculating power factor, and observing a diesel generator autostart and load. The Electrical Generation Fundamentals Training System is only one of DAC Worldwide’s many electrical training systems. Visit DAC Worldwide online to learn more about its many other electrical training systems!
- Published in News
Sustained Demand Boosts Manufacturing Equipment Orders
As consumers, it’s easy to see the effects of a prolonged battle with inflation. It seems like everywhere you go, it costs more these days for the things you need. From grocery stores and restaurants to gasoline and utilities, the consumer dollar just doesn’t stretch as far as it used to.
Are manufacturers experiencing something similar? If you watch the news, it’s pretty much been doom and gloom for some time now, even though many key economic indicators reflect a recovering economy that’s more robust than it’s been since the COVID-19 pandemic.
While it’s true that inflation and high interest rates can affect businesses just like they do consumers, there’s evidence that manufacturers see the light at the end of the tunnel. In fact, it appears that many manufacturers are ready to resume capital investment in the form of new manufacturing equipment orders.
A recent American Machinist article notes that “[a]n uptick in demand from machine shops and OEMs may indicate manufacturers are overlooking the high interest rates that have restrained new orders through the year to-date, recognizing sustained consumer and business demand for finished products.”
The article reports that “U.S. machine shops and other manufacturers increased their demand for capital equipment during May, with new metal-cutting and metal-forming and fabricating machines rising 21.8% from April to $386.7 million for the month. That represents a 6.5% increase in new orders from May 2023.”
“These figures are supplied by AMT – the [Association] for Manufacturing Technology in its U.S. Manufacturing Technology Orders report, a monthly review of new orders for machine tools (i.e., ‘manufacturing technology’), that serves as an indicator of future manufacturing activity because it quantifies machining operations’ investments in preparation for new production programs.”
In its report, AMT notes that these developments represent “a realization by manufacturers that capital investment is necessary ‘to meet the sustained demand for goods and machinery from consumers and businesses,’ in spite of the ongoing strain of high interest rates that have weighed against new-order activity since January.”
AMT also observed that “[d]emand for manufacturing technology among OEM is notably strong among electrical equipment manufacturers and power-generation and transmission equipment manufacturers. ‘These industries undoubtedly benefit from the government investment authorized by the CHIPS and Infrastructure acts and are therefore less sensitive to interest rates than others.’”
This is good news for electrical power generation and transmission equipment manufacturers. New equipment often means increased capacity, which in turn means new employees. Ensuring that new employees – and current employees – have the hands-on skills they need to succeed in the workplace remains a top priority.
How do companies and schools train the next generation of professionals with the electrical skills they need to succeed in the modern workplace? A thorough review of training systems is a great place to start. Do employees and students have access to hands-on training with actual components they’ll encounter on the job?
If not, partnering with established companies to provide industrial-quality training systems that will stand the test of time will help ensure a competent workforce. Be sure to check out DAC Worldwide’s variety of hands-on electrical training systems that feature the real-world components workers will encounter in the field!
- Published in News
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