Two Years of the NExT Factory: World’s first DC factory with AI energy management earns global recognition

Schaltbau today celebrates the two-year milestone of its NExT Factory, a flagship site for sustainable and intelligent manufacturing. Since opening in 2023, the 22,000 m² facility has demonstrated how a DC-powered plant combined with AI-driven energy management can set new standards in industrial performance and sustainability. The factory has already earned global recognition, including awards such as the German Innovation Award and the German Energy Agency’s Energy Efficiency Award as well as a recent nomination for the Freddie Industrial AI Award.

“The NExT Factory is more than a production site – it’s a blueprint for The All Electric Society and the future of sustainable industry,” said Helmut Pusch, CEO Schaltbau GmbH Group. “We’ve demonstrated that energy efficiency, digital innovation, and high-performance manufacturing can go hand in hand. This combination not only makes our production more sustainable, it also provides customers and partners with a concrete example of what the transition to the All Electric Society looks like in practice.”

Energy and resource efficiency are central to the NExT Factory’s design. The facility operates with 66 percent renewable energy of its own generation (net annual basis), thanks to cost-efficient heat pumps that replace the gas systems of the previous site. At the core is an AI-based energy management system (EMS) that controls the factory’s grid. Together with battery and thermal storage, this enables predictive control and continuous optimization. The result: up to 35 percent in annual energy cost savings, while PV systems deliver an 8 percent boost in efficiency compared to AC configurations. DC-coupled battery systems reduce energy losses by an additional 3–4 percent.

Digital innovation rounds out the factory’s achievements. The site features a digital twin of the DC grid and the EMS. These technologies not only improve performance but also provide the flexibility and resilience needed to meet growing customer demands.

As part of Schaltbau’s global production footprint, the NExT Factory also plays a strategic role and international demand while aligning with political and ESG requirements. With 2,000 m² of open office space and 64 assembly lines across custom, small-to-mid-series, and large-series production, the facility produces 38,500 custom pieces, 167,000 small-to-mid-series, and 760,000 large-series products each month. Since its launch, the NExT Factory has implemented several continuous improvement projects, alongside major automation milestones such as a fully automated pre-assembly line for drives, a final assembly line for contactors, and a laser welding machine.

The factory’s supply chain and logistics operations have also advanced rapidly. Demonstrating a commitment to continuous business excellence, several key process improvements have been rolled out with average implementation times of just 12 weeks. At the same time, our sourcing philosophy carefully balances economic, ecological, and social considerations to ensure responsible and sustainable outcomes. Ongoing logistics optimizations continue to lower environmental impact, further reinforcing the site’s commitment to sustainability.

Over the past two years, the NExT Factory has hosted delegations from leading international companies seeking insight into sustainable manufacturing practices and DC factory concepts. By sharing practical expertise and proven approaches, Schaltbau continues to position itself as a trusted partner in helping industry realize the transition to DC-based production. Looking ahead, the facility will remain a cornerstone of innovation, efficiency, and responsible growth.

“We are proud to share our knowledge and experience with other companies seeking to establish DC-based factories,” added Pusch. “Actively supporting this transition is part of our responsibility to accelerate the move toward green industry and sustainable production."

To read more about DC microgrids, EMS, and NExT Factory, visit us here.