GE’s acquisition is driven by a growing demand for energy-efficient IT in the smartphone market. General Electric (GE) has revealed plans to buy a power conversion technology company for $520m (£328m) in an attempt to boost the energy efficiency of the growing smartphone, cloud computing and datacenters markets.
GE Energy has signed an agreement to acquire Lineage Power from private equity firm The Gores Group, bolstering the conglomerate's presence in the fast-expanding market for energy-efficient technology. The deal is also driven by a predicted boom in the smartphone market and is lined up to close in the first calendar quarter of the year.
The two companies will then collaborate on a wide range of clean tech-related technologies, including batteries, cooling, datacentres, electric vehicles, lighting and uninterruptible power supply (UPS) markets. Lineage, based in Texas, currently makes energy-efficient energy supply equipment for datacentres and towers used in cloud computing and internet mobile services..