On Monday, Generac Holdings, a designer and manufacturer of power products, announced the acquisition of a new facility in Sussex, Wisconsin, a small village about 20 miles northeast of Milwaukee. The new factory is expected to open later this year and add more than 100 manufacturing jobs.
The company will use the new plant to expand its manufacturing footprint for commercial and industrial (C&I) products to meet growing demand for backup power at data centers.
"With global demand for data center capacity projected to more than triple by 2030 (McKinsey), the rapid expansion of data centers is creating unprecedented demand for reliable and scalable power solutions," said Aaron Jagdfeld, Generac president and CEO. Jagdfeld said the data center sector offers a "generational opportunity" for Generac to potentially double its sales of C&I products in the next three to five years.
The addition of large-megawatt generators to Generac's global product portfolio has enabled the company to enter the rapidly growing data center market. Since expanding its product lineup, the company has reportedly seen significant customer interest in the data center market. According to Generac's Q3 earnings call in October, its order backlog for these large generators recently doubled.
A Generac industrial generator.Generac
The Sussex facility will also help Generac serve other backup power verticals that require large-megawatt generators, including healthcare, hospitality, wastewater, water utility and heavy industrial plants.
Generac is experiencing rapid expansion in Wisconsin. The company, based in Milwaukee suburb Waukesha, recently invested $35 million to expand operations in Beaver Dam, Wisconsin. The 350,000-square-foot facility was the company’s sixth in the Dairy State, and was on pace to add more than 300 jobs by the end of 2025.
Generac also provides a portfolio of C&I energy solutions internationally with nine manufacturing facilities in Mexico and across Europe, Asia and South America.
A rooftop industrial generator.Generac
