Siemens  is expanding its partnership with NVIDIA to build what the companies call an “Industrial AI Operating System,” alongside a planned mid-2026 launch of Siemens’ Digital Twin Composer software on the Siemens Xcelerator Marketplace.

Siemens described the “operating system” as a joint, AI-accelerated portfolio meant to connect industrial software, simulation and factory operations so companies can design products faster, validate changes in software, and then automate and run those changes in the physical world.

Siemens and NVIDIA stated that the expanded work encompasses the entire industrial lifecycle, from design and engineering through manufacturing operations and supply chains.

NVIDIA will provide AI infrastructure, simulation libraries, models, frameworks and “blueprints,” while Siemens will commit “hundreds” of industrial AI experts plus its hardware and software stack.

Siemens CEO Roland Busch said the goal is to “scale AI and create real-world impact,” while NVIDIA CEO Jensen Huang said the partnership is aimed at turning digital twins from passive simulations into “active intelligence” of the physical world.

AI-driven factories

One concrete deployment Siemens highlighted is a plan to build “fully AI-driven, adaptive manufacturing sites,” starting in 2026 with the Siemens Electronics Factory in Erlangen, Germany, as the first blueprint.

Siemens said these sites would use an “AI Brain” powered by software-defined automation and industrial operations software, combined with NVIDIA Omniverse libraries and NVIDIA AI infrastructure, to analyze a factory’s digital twin, test improvements virtually, and then convert validated insights into shop-floor changes. Siemens said Foxconn, HD Hyundai, KION Group and PepsiCo are already evaluating some of the capabilities.

Digital Twin Composer launch

Digital Twin Composer is the near-term product launch tied to that broader platform push. Siemens said the software will let industrial companies combine 2D and 3D digital-twin data with real-time physical information in a managed, secure, photorealistic 3D scene built using NVIDIA Omniverse libraries.

Siemens claimed the tool can connect to real-world data sources such as manufacturing execution systems, quality systems, PLC code and industrial IoT feeds. Siemens said Digital Twin Composer will be available on the Siemens Xcelerator Marketplace in mid-2026.

Siemens pointed to PepsiCo as an early user: The drinks manufacturer is converting select U.S. manufacturing and warehouse facilities into high-fidelity 3D digital twins to simulate plant operations and end-to-end supply chains.

It claims that the approach has delivered a 20% throughput increase on initial deployment, “nearly 100%” design validation, and 10%–15% capital expenditure reductions by identifying up to 90% of potential issues before physical modifications..

On the design and simulation side, Siemens said it will complete GPU acceleration across its simulation portfolio and expand support for NVIDIA CUDA-X libraries and AI physics models.

 In electronic design automation, Siemens will integrate NVIDIA CUDA-X libraries, PhysicsNeMo and GPU acceleration across parts of its EDA portfolio and is targeting 2–10x speed-ups in selected workflows, while adding AI-assisted features such as layout guidance, debug support and circuit optimization.

Roadmap and milestones

The CES announcements build on Siemens’ recent software expansion. Siemens closed its Altair acquisition in March 2025, calling it a step to extend simulation and industrial AI capabilities and enhance its digital twin portfolio. Siemens also completed its $5.1 billion acquisition of life-sciences R&D software provider Dotmatics in July 2025. In its FY2025 results, Siemens reported €78.9 billion in revenue, €10.4 billion in net income and a record €10.8 billion in free cash flow.

Milestones Siemens disclosed

Digital Twin Composer is slated for mid-2026 availability, while the first “adaptive” factory blueprint work is scheduled to begin in 2026.