German industrial giant Siemens AG is expanding its North American supply chain with a $510M investment aimed at increasing manufacturing capacity in the U.S.

The move is slated to boost data center capacity across the U.S., which is seeing a flood of new demand with the evolution of artificial intelligence. About a third of the funds will be dedicated to a $150M electrical equipment plant in Fort Worth, Texas, that will help power data centers and other industrial plants, according to a news release.

“There’s never been a better time to invest in critical electrical infrastructure and green mobility to support the backbone of America’s economy,” Siemens AG CEO and President Roland Busch said in a statement.

“The hardware and software we offer — produced through our expanded U.S. manufacturing presence — will ensure that growing industries can meet demand while continuing to make progress in decarbonizing operations.”

The overall investment is slated to create 1,700 jobs, 700 of which would be based in Fort Worth. Siemens’ investment adds to the billions of dollars of development already underway in the city, the fastest-growing in the U.S. as of 2022.

The Fort Worth plant is expected to be fully operational by 2025.

Other cities where Siemens plans to build or expand facilities include Lexington, North Carolina; Grand Prairie, Texas; and Pomona, California. In addition to data centers, the investments will focus on semiconductor and battery manufacturing.

The U.S. investment is part of Siemens’ larger $2.2B plan to expand its manufacturing globally by investing in high-tech factories, innovation labs and education centers. International facilities are underway in China, Southeast Asia and Europe.