At CES 2026, PepsiCo announced an exceptional, multi-year partnership with Siemens and NVIDIA to improve its plant and supply chain operations using advanced AI and digital twin technology. This is the first time a global consumer goods company is using digital twins to simulate and test plant and warehouse operations, with early projects already starting in the U.S.
As demand for production and distribution rises, PepsiCo is leveraging digital tools to redesign its facilities more quickly as well as efficiently. Traditional methods of expansion are slow and expensive, so PepsiCo is turning to a digital-first approach, using AI and digital twins to plan and optimize its facilities before any physical changes are made.
The new technology will help PepsiCo simulate, test, and optimize facility layouts using Siemens' Digital Twin Composer and NVIDIA Omniverse libraries. This will allow PepsiCo to improve its U.S. facilities and eventually expand the process globally.
The partnership aims to create virtual environments that combine real-time data with digital twin models, allowing PepsiCo to test and refine operations without making physical changes. The digital twin technology has already helped PepsiCo improve throughput by 20%, speed up design processes, and reduce capital costs by up to 15% by uncovering hidden capacity and validating investments before making any changes to the real-world facilities.
Executive Statement
According to Ramon Laguarta, Chairman and CEO of PepsiCo., the scale and complexity of PepsiCo's business, from farm to shelf, is massive—and they are embedding AI throughout their operations to better meet the increasing demands of their consumers and customers. Their work with Siemens and NVIDIA will help accelerate our continued journey of becoming a future-fit company, operating with agility and foresight.
According to Jensen Huang, founder and CEO of NVIDIA, physical industries are entering the age of AI. For companies with real-world assets, digital twins are the foundation of their AI journey. Working with NVIDIA and Siemens, PepsiCo is re-architecting its operations—using physically accurate digital twins and AI to reinvent how it designs, optimizes, and runs its global operations.