SMid Cap Industrials: The Implications of 800V DC Data Center Architecture on Our Power Infrastructure Coverage

Research evidence excerpt

SMid Cap Industrials: The Implications of 800V DC Data Center Architecture on Our Power Infrastructure Coverage

J P M O R G A N North America Equity Research

10 July 2026

SMid Cap Industrials

The Implications of 800V DC Data Center Architecture

on Our Power Infrastructure Coverage

We remain constructive on the U.S. power infrastructure subsector, supported by North America Small and Mid Cap

ongoing electrification, data center investment, and grid modernization. Recent Industrials

investor conversations have focused on whether the shift to 800V DC architectures Tomohiko Sano AC

in data centers could disrupt the predominantly AC-based grid. This report clarifies (1-212) 622-1099

our view: the AC grid is not at risk, and 800V DC is expected to be an edge-level tomohiko.sano@jpmorgan.com

adaptation, with meaningful adoption unlikely before 2028. BELFB is best Brendan Shea, CFA

positioned to benefit from DC content, ALNT and RRX are architecture-agnostic, (1-212) 622-0770

and POWL and HPS/A retain credible DC optionality. We reiterate our Overweight brendan.shea@jpmorgan.com

ratings across the entire group, reflecting strong conviction and sector resilience. Ethan Coyle

(1-212) 270-0613

• Powering Ahead: AC Grid Strength and DC Opportunity: We remain ethan.coyle@jpmchase.comJ.P. Morgan Securities LLC

constructive on U.S. power infrastructure providers. The domestic grid is

overwhelmingly AC, with about 98% of transmission built on AC technology

across 642,000 miles of high-voltage lines, 6.3 million miles of distribution

lines, and 55,000 substations. The new 800V DC architecture is an edge

adaptation for data centers, not a replacement for the AC backbone, which

should remain intact for the foreseeable future. Durable trends in