[Click e-Stock] "Otech Set to Expand into Data Center Market, Expected to Benefit from Government Policies"

On January 8, independent research firm ValueFinder analyzed that Otech will continue to benefit from consecutive orders for air conditioning equipment for data centers and from government renewable energy policies.

Otech is a company specializing in special-purpose vehicles and heating, ventilation, and air conditioning (HVAC) equipment, listed on the KOSDAQ market since 2003. In 2011, the company acquired Carrier Air Conditioner and changed its name to Otech Carrier, continuing its HVAC business. In December of last year, the company secured a contract to supply chillers to a data center located in Busan. It is believed that Otech was selected as the supplier following technical reviews with external specialists, and the company is also pursuing additional contracts for supplying air conditioning units and providing five years of maintenance services.

Additionally, Otech plans to supply air conditioning equipment to the Magok data center in Seoul. The company is currently engaged in chiller supply projects for a total of 17 projects, marking a full-scale entry into the data center market.

Lee Chungheon, a researcher at ValueFinder, stated, "In December of last year, the Ministry of Climate, Energy and Environment announced plans to promote the adoption of heat pumps," and explained, "By revising existing regulations that recognized only hydronic and geothermal energy as renewable, the government has now included air-source energy as a form of renewable energy. As a result, air-source heat pumps are now eligible for government installation subsidies and tax benefits."

He further added, "Otech Carrier's high-efficiency heat pump solution, EHS, is already being applied to the Gimje Smart Farm Complex, demonstrating over 300% efficiency compared to energy consumed, thereby providing a reference for reducing operating costs and minimizing carbon emissions. With the government's plan to promote heat pump adoption, 3.5 million heat pumps are expected to be distributed by 2035, and the company is anticipated to benefit significantly from the resulting market expansion."