This license agreement positions ABB and ETM to address a fast-growing, mission-critical cooling market where efficiency, reliability, and energy consumption are increasingly important to data center economics

Electric Torque Machines (ETM), a wholly owned subsidiary of Graco Inc. (NYSE: GGG) and owner of patented Transverse Flux Motor (TFM) technology, today announced that ABB has signed a license agreement covering the use of ETM’s technology in data center cooling towers and heat rejection systems.

The agreement builds on a successful collaboration between ABB and ETM in industrial applications to capitalize on one of the fastest-growing areas of global infrastructure. As artificial intelligence, cloud computing, and high-density data centers accelerate demand for thermal management, cooling performance is becoming increasingly important to energy use, operating cost, reliability, and the ability to support higher-density computing.

ETM’s TFM architecture is built for applications that need high torque, low speed, and efficient direct drive. By reducing mechanical complexity, TFM-based systems can help customers create cooling solutions that are simpler, use fewer drivetrain components, and are better suited to the reliability demands of modern data centers. The agreement creates a path to participate in a multi-year infrastructure buildout where differentiated motor performance can become a competitive advantage.

“This is an exciting opportunity to bring a differentiated motor technology from Graco’s ETM business into one of the most important infrastructure markets in the world,” said Mark Sheahan, Chief Executive Officer of Graco Inc. “ABB’s decision to expand its relationship with ETM reflects confidence in the technology, the team, and the commercial opportunity ahead. Together, we can help customers simplify cooling systems, improve reliability, and convert thermal management from a cost challenge into a strategic advantage for the next wave of data center growth.”

“ABB continually evaluates technologies that can deliver meaningful value to customers through improved efficiency, reliability, and ease of operation,” said Jesse Henson, President, NEMA Motors, ABB. “Our work with ETM has shown the potential of direct-drive motor systems, and we are pleased to expand that work into cooling applications where performance and uptime matter.”

“Data center cooling is one of the most dynamic opportunities in the electric motor industry,” said Justin McMahon, Global Business Line Leader, ABB. “Combining ABB’s market reach with ETM’s TFM technology gives us the opportunity to develop next-generation motor solutions for mission-critical cooling and thermal management systems while helping customers improve resiliency, simplify maintenance, and support the efficient expansion of large-scale cooling capacity.”

“The best validation of a technology platform is when a partner expands the relationship after working with it firsthand,” said Jeffrey Weiss, President of Electric Torque Machines. “ABB has worked closely with ETM to leverage TFM technology in industrial applications, and this agreement moves that work into a high-growth market where direct-drive performance can make a real economic difference. We believe TFM can help redefine what customers expect from motor systems in cooling towers and other critical infrastructure.”

Under the license agreement, ABB and ETM will develop TFM-based products for data center cooling towers, heat rejection, and related thermal management applications, with the companies targeting the first installations in data center environments by the end of 2029. ABB and ETM will continue collaborating on product development, application engineering, customer qualification, and market development. The opportunity brings together complementary strengths: ABB’s scale, channel access, and customer relationships, and ETM’s motor technology, in a market where performance, reliability, and energy efficiency are increasingly central to data center operating economics.

About GRACO

Graco Inc. supplies technology and expertise for the management of fluids and coatings in both industrial and commercial applications. It designs, manufactures and markets systems and equipment to move, measure, control, dispense and spray fluid and powder materials. A recognized leader in its specialties, Minneapolis-based Graco serves customers around the world in the manufacturing, processing, construction, and maintenance industries. For additional information about Graco Inc., please visit us at www.graco.com.

About ABB

ABB is a global technology leader in electrification and automation, enabling a more sustainable and resource-efficient future. By connecting engineering expertise and software, ABB helps industries optimize, electrify, and automate their operations, improving performance while reducing environmental impact.

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