LG Partners with University to Advance HVAC for AI Centers

TLDRs;

• LG invests $35.9M in HVAC R&D hub with Changwon University to focus on AI data center cooling systems and technologies.
• The new facility will be Korea’s first dual extreme-temp testing site, allowing simultaneous high- and low-temperature HVAC evaluations.
• Relocation of LG’s HVAC Academy to the new site will expand training for domestic and international engineers.
• Global HVAC market poised to hit $229B by 2030, with AI data center cooling emerging as a key growth driver.

LG Electronics has announced a significant investment in next-generation heating, ventilation, and air conditioning (HVAC) technology, with a particular focus on artificial intelligence (AI) data centers.

The company signed an agreement with Changwon National University to establish the LG Electronics HVAC Research Center in Changwon, South Gyeongsang Province, South Korea.

The project will cost 50 billion won (US$35.9 million) and is scheduled for completion in the first half of 2027. Once operational, the 13,200-square-meter facility will serve as Korea’s first HVAC research hub capable of conducting simultaneous high- and low-temperature stress tests on advanced cooling systems.

Data centers driving HVAC growth

AI data centers are fast becoming one of the world’s most energy-intensive infrastructures, requiring specialized cooling technologies that can operate continuously under extreme conditions. LG has been increasing its focus on thermal management systems for AI computing environments, recognizing that demand for such solutions is only set to accelerate.

The new center will prioritize research into air conditioners, heat pumps, chillers, and large-scale cooling distribution units designed specifically for data centers. These innovations are expected to address the rising global need for efficient cooling solutions as AI workloads grow in scale and intensity.

Industry reports show that the global HVAC market is projected to expand to nearly US$229 billion by 2030, growing at an annual rate of 5.5%. Within this sector, data center cooling stands out as one of the fastest-growing segments, reflecting the growing strain of AI-driven cloud computing, machine learning, and high-performance storage operations.

Advancing HVAC technology and training

In addition to hardware development, the new facility will also function as a training hub. LG’s current HVAC Academy, based in Changwon Smart Park, will be relocated to the new research center. This move is designed to expand training opportunities for both domestic and international engineers, ensuring that technical expertise keeps pace with the company’s global ambitions.

The HVAC Research Center will focus heavily on core component innovation, including compressors, motors, pumps, heat exchangers, and inverters. LG is also responding to increasingly strict environmental regulations, with efforts to develop sustainable solutions that reduce energy consumption and greenhouse gas emissions.

A regional R&D strategy for growth

LG’s decision to partner with Changwon National University highlights its strategy of building regional innovation ecosystems. Rather than consolidating all research in a single global hub, the company is establishing localized R&D facilities tailored to regional needs.

The Asia-Pacific HVAC market is growing rapidly, estimated at 7.35% annually through 2029, driven by urbanization and stricter climate targets.

By basing advanced research in Korea, LG ensures its solutions are developed within the context of regional climate challenges and regulations. This localized approach positions the company to remain competitive against global peers while strengthening Korea’s role in advanced HVAC technology.

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