[Edaily Reporter Park Jung-Soo ] S Connect Co., LTD ( S Connect Co., LTD(096630)) announced on the 7th that it has completed registration as a Tier 1 supplier for SAMSUNG SDI CO.,LTD’s Malaysian subsidiary. With this supplier registration, S Connect Co., LTD has established a local supply system for key components of high-power cylindrical batteries used in AI data centers.
SAMSUNG SDI CO.,LTD.’s Malaysian subsidiary serves as a global production hub for small batteries and is currently establishing a production line for high-power cylindrical batteries to respond to the recent expansion of the battery backup unit (BBU) market for AI data centers.
S Connect Co., LTD explained that it established a local subsidiary in Malaysia late last year and, building on this foundation, has secured a production and quality system capable of supplying key components for cylindrical batteries to SAMSUNG SDI CO.,LTD’s Malaysian production hub.
The company forecasts that the market for high-power cylindrical batteries and key components will continue to grow, driven by rising demand for BBUs to ensure a stable power supply—a trend fueled by the recent proliferation of generative AI and increased investment in data centers by global Big Tech companies.
S Connect Co., LTD plans to operate a rapid and stable supply system in Malaysia to align with its clients’ production expansion plans.
A S Connect Co., LTD official stated, “Being registered as a Tier 1 supplier for SAMSUNG SDI CO.,LTD’s Malaysian subsidiary is an important milestone in expanding our global supply chain,” adding, “Based on our Malaysian production hub, we will actively respond to the growth of the battery market for AI data centers and continue to expand our collaboration with global clients.”
Meanwhile, driven by the proliferation of generative AI and increased investment in data centers by global Big Tech companies, the BBU market for AI data centers is expected to continue its growth trend over the medium to long term.