LG Electronics Inc. and Microsoft have agreed to strengthen their strategic partnership in artificial intelligence, the South Korean tech giant announced Tuesday.

The agreement follows a meeting on Monday between LG Group Chairman Koo Kwang-mo and Microsoft CEO Satya Nadella at Microsoft's headquarters in Washington, with senior executives from LG's major subsidiaries also in attendance.

Under the expanded partnership, the two companies will work together to commercialize AI data centers as Microsoft broadens its global footprint of AI infrastructure. In the near term, they will explore opportunities to supply high-capacity cooling solutions for Microsoft's key strategic data center locations.

LG Electronics Inc. already offers a range of thermal management products for data centers, including chillers, coolant distribution units, and air conditioning systems. AI data centers housing large numbers of high-performance graphics processing units consume significantly more energy and generate far more heat than conventional facilities.

The companies also plan to deepen collaboration in "physical AI," a field focused on applying AI technologies to manufacturing, logistics, and mobility applications. LG Electronics Inc. will leverage Microsoft's high-performance cloud infrastructure to accelerate the development and training of AI models designed to operate in physical environments.