Eaton CEO: AC to DC migration for data centers ‘is real’

Utility Dive · Brian Martucci · 2026-11-05 12:05 UTC

The electrical equipment multinational says it’s poised to capitalize on the trend by investing in solid-state transformers. But the “timing of that transition is not under our control,” said CEO Paulo Ruiz.

The CEO of one of the world’s biggest suppliers of electrical equipment sees the AI-driven global construction boom continuing for years — and driving a shift from traditional low-voltage systems to 800-volt direct-current architecture for data centers.

In August 2025, Eaton Corp. paid $86 million for Resilient Power Systems, a solid-state transformer developer.

Using magnets and semiconductors rather than specialized steel alloys and vast amounts of copper wiring, solid-state transformers, or SSTs, are more compact and efficient than traditional low- and medium-voltage transformers. Data centers built on the 800-volt direct-current architecture that Eaton expects will soon become the industry standard could reduce non-IT capital expenditures by up to 18%, according to a recent McKinsey analysis.

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