Benchmark Expands U.S. Production for Oxide

Benchmark Electronics opened a second U.S. production site to support Oxide Computer Company's rack-scale systems.

Updated on Nov. 2, 2026 in Semiconductors

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Benchmark Electronics opened a second U.S. production site in Tempe to build Oxide Computer Company's rack-scale on-premises cloud systems. AI Illustration. Upload story photo >

Benchmark Electronics, a global provider of engineering, design, and manufacturing services, has expanded U.S. production for Oxide Computer Company, creator of the Oxide Cloud Computer. The new second U.S. production site adds capacity for Oxide's on-premises cloud computing systems.

Why it matters

The expansion gives Oxide additional manufacturing capacity and supply-chain flexibility as demand for its products accelerates. It is intended to help Oxide bring cloud computing to more customers operating their own data centers in the Tempe area and beyond.

The partnership drew on Benchmark's U.S. engineering capabilities for power delivery and thermal performance, with mechanical engineering and supply chain development support. Specific hardware throughput and capacity figures for the new site were not disclosed.

The players

Benchmark Electronics (NYSE: BHE)

Benchmark Electronics is a global provider of engineering, design, and manufacturing services listed on the New York Stock Exchange under the ticker BHE.

Oxide Computer Company

Oxide Computer Company is an on-premises cloud computing company and creator of the Oxide Cloud Computer, a rack-scale integrated system.

The details

Benchmark Electronics and Oxide began their partnership shortly after Oxide's 2023 Series A funding round, initially drawing on Benchmark's engineering capabilities. The collaboration has since continued through new product introduction and into the current production expansion.

Timeline

  1. 2023: Oxide completes its Series A funding round and the Benchmark partnership begins shortly after.

  2. November 2, 2026: Benchmark announces expanded U.S. production for Oxide.

The Tech Race

The Oxide Cloud Computer is a rack-scale integrated system aimed at on-premises cloud deployment rather than public hyperscale data centers. Benchmark's expansion scales manufacturing of that system as Oxide seeks to place cloud infrastructure inside customers' own facilities.

For customers, the expansion is aimed at making Oxide's on-premises cloud systems available to more buyers running their own data centers. Practical availability and pricing for end users were not addressed in the announcement.

The takeaway

Expanded manufacturing capacity is a key step for on-premises cloud hardware to reach more data centers. Organizations evaluating such systems should watch for published capacity and availability details from both companies.

Further reading

For more on the chip and hardware supply behind systems like these, see Semiconductors.

More information

Learn more about Benchmark's engineering and manufacturing services on the Benchmark advanced computing capabilities overview page.

Source note: This article includes information reported by EMSNow.