Designing AI factories: Purpose-built, on-prem GPU data centers

AI factories are purpose-built GPU data centers optimized for large-scale AI workloads, representing a shift from traditional infrastructure. These facilities feature high-density GPU systems, ultra-fast networking, and advanced cooling solutions to support massive model training and real-time inference. Organizations are increasingly building on-premises AI factories to address cloud cost concerns, gain better control over hardware, and improve security—offering better long-term economics despite higher initial investment.