Samsung SDI, Amazon Near $700 Million Data Center Battery Deal

Samsung SDI is close to landing a major $700 million contract with Amazon Web Services to supply backup batteries for data centers. The two companies have been negotiating since at least April 22, when Samsung executives met with AWS leaders.

The deal focuses on battery backup units that work as uninterruptible power supplies. These systems keep data centers running when the main power goes out, protecting the servers that run websites, apps, and cloud services.

Negotiations have reached the final stage, with only pricing discussions left to work out. The massive contract would be a major win for Samsung SDI, which makes batteries for everything from phones to electric cars.

Data centers are crucial infrastructure that power the internet. When they lose power, websites crash and apps stop working. Backup battery systems give these facilities time to switch to backup generators or restore main power without interrupting service.