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NEW YORK - Endeavour Energy LLC and Jabil Inc. (NYSE:JBL), a prominent player in the Electronic Equipment industry with a market capitalization of $23.67 billion, announced Tuesday an expanded collaboration to provide modular, just-in-time AI infrastructure with capacity of up to 2 gigawatts annually. According to InvestingPro data, Jabil has demonstrated remarkable performance with a 92% return over the past year.
The partnership combines Endeavour’s data center design with Jabil’s manufacturing capabilities to deliver waterless, grid-agnostic infrastructure through Endeavour’s Edged data center platform.
According to the companies, the new model aims to reduce upfront investment by up to 90% while enabling infrastructure deployment 50-60% faster than industry standards. The approach focuses on aligning infrastructure delivery with real-time demand to eliminate capacity bottlenecks and reduce overbuild risk.
"This collaboration represents the latest, and most critical, step in a 30-year journey in data center infrastructure," said Jakob Carnemark, Founder and CEO of Endeavour, in a press release statement.
The initiative builds on Jabil’s previously announced $500 million investment in domestic cloud and AI infrastructure manufacturing, expected to be operational by mid-2026.
Matt Crowley, Executive Vice President of Global Business Units at Jabil, said the partnership addresses "both the technological and business challenges our customers face in the AI era."
The companies have already collaborated on more than a dozen Edged data centers currently operational or under construction across North America and Europe. Their new just-in-time platform is scheduled to launch in the United States in the first quarter of 2027.
The collaboration aims to support cloud service providers by improving capacity responsiveness and accelerating time to revenue while maintaining flexibility to adapt to changing customer demand.
In other recent news, Jabil has reported significant developments in its financial performance and strategic outlook. The company increased its artificial intelligence-related revenue forecast to $8.5 billion for fiscal 2025, marking over 50% year-over-year growth. This adjustment follows strong fiscal third-quarter results and has prompted firms like BofA Securities and Barclays to raise their price targets for Jabil to $245 and $223, respectively. Stifel also resumed coverage of Jabil with a Buy rating, citing the company’s growing exposure to AI infrastructure.
Jabil’s Cloud and Data Center Infrastructure business segments have shown remarkable strength, contributing to a total revenue of $7.8 billion, which represents a 19% growth on a pro forma basis. UBS noted that this performance exceeded their expectations, although Jabil’s gross margin came in slightly below projections. Despite the margin pressure, the company’s operating margin guidance remains steady at 5.4%.
Furthermore, Jabil plans to establish a new U.S. manufacturing site to support growth in its Cloud and Data Center operations. The healthcare segment continues to perform well, although the Electric Vehicle, Renewables, and 5G segments remain subdued. Analysts from BofA project that Jabil’s AI revenues will grow to $10.6 billion in fiscal 2026 and $13.3 billion in fiscal 2027, with a more conservative growth rate compared to fiscal 2025.
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