German semiconductor manufacturer Infineon has partnered with Estonian power and storage systems supplier Skeleton Technologies to develop a suite of high-efficiency, resilient power solutions for modern data centers.

The companies signed a non-binding Memorandum of Understanding (MoU) to jointly explore and develop advanced architectures for the entire AI data center power chain, from the grid to the facility itself. This will include Solid State Transformers for medium-voltage AC-to-high-voltage DC conversion.

“By combining Infineon’s expertise in power semiconductors with Skeleton’s innovation in supercapacitor technology and power conversion systems, we are driving the development of highly efficient and resilient power architectures that meet the demands of next-generation AI workloads,” said Andreas Weisl, EVP and chief sales officer of industrial and infrastructure at Infineon.

“AI data centers need to deliver dramatically more power to increasingly dense GPU infrastructure, without allowing the power system itself to consume more space. Infineon and Skeleton Technologies are both working at the forefront of that challenge,” added Taavi Madiberk, CEO at Skeleton Technologies.

As part of the tie-up, the companies intend to combine Infineon’s CoolSiC power semiconductors with Skeleton’s expertise in power conversion systems and supercapacitor technology.

Skeleton’s system is a high-power energy-storage device designed to handle sharp load fluctuations in grids and AI data centers in under a millisecond. The company claims that its systems enable AI data centers to smooth power demand and reduce energy consumption.

The MoU will also foster collaboration on gallium nitride (GaN)-based peak-shaving systems that combine Skeleton’s supercapacitors with Infineon’s power semiconductors. The companies claim that bringing together the two will deliver breakthrough improvements in energy efficiency, power density and system reliability while helping reduce the total cost of ownership for data center operators.

Skeleton was launched in 2009 in Tartu, Estonia. Its first customer was the European Space Agency and has seen uptake across the German automotive sector, with use in BMW’s i7 and M-series models.

It opened its first US manufacturing facility in Houston, Texas, earlier this year, following on from two European factories that launched in November 2025 – a $270 million facility in Germany and a $60 million plant in Finland.

This year, it partnered with transformer manufacturer DG Matrix to support the data center sector’s transition to 800V DC power infrastructure. It also recently launched a new UPS for AI data centers, which it claims delivers continuous power protection for data center operators while complying with grid connection requirements.

Infineon is one of Europe’s largest semiconductor manufacturers. Spun out of Siemens in 1999, the company specializes in power electronics, automotive microcontrollers, sensors, and security chips. Recently, it increased its research and development in power infrastructure for the data center sector, partnering with Korean electrical equipment manufacturer LS Electric to develop direct current power infrastructure for the AI data center market earlier this year.