Solid-state transformers (SST) demonstrate notable advantages over conventional transformers, being compact, lightweight, and capable of AC/DC conversion, offering superior flexibility and space efficiency. Current primary applications include hybrid AC/DC distribution grids, direct green power connections, and electric vehicle charging stations. SST represents the future trend in AI data center (AIDC) power distribution architecture.

NVIDIA has indicated it is exploring medium-voltage rectifier applications (converting medium-voltage AC to 800V DC) and is committed to adopting SST technology as a forward-looking facility power distribution solution.

High-frequency transformers serve as core components of SST, with amorphous nanocrystalline materials effectively addressing technical challenges. Key bottlenecks in high-frequency transformers include limited capacity, high loss density, and difficulties in large-capacity battery design, alongside system complexity and elevated costs. Amorphous nanocrystalline materials combine the high resistivity of amorphous alloys—reducing eddy current losses—with the superior soft magnetic properties of nanocrystalline materials, making them particularly advantageous for SST applications.

The growing adoption of AI technology and upward revisions in global data center capital expenditures are expected to sustain investment opportunities in AIDC power solutions. The 2026 release of the Rubin architecture HVDC, along with progress in 800V HVDC and SST product development by various companies, will serve as major catalysts for the sector. Domestic advancements in HVDC and SST R&D, entry into overseas supply chains, and the emergence of green power direct-connection and hybrid AC/DC markets will further support industry growth. Demand for key components such as SiC, nanocrystalline alloys, and thermal management materials in medium-voltage high-frequency SST products is set to rise steadily.