PepsiCo Partners with Siemens and NVIDIA on AI-Driven Digital Twins

PepsiCo announced a multi-year collaboration with Siemens and NVIDIA at CES 2026 to revolutionize plant and supply chain operations using advanced digital twin technology and AI. This first-of-its-kind initiative for a global CPG company applies physics-based digital twins to simulate and test manufacturing and warehousing facilities, with U.S. pilots already demonstrating results.

Facing rising production demands, PepsiCo employs Siemens Digital Twin Composer—built on NVIDIA Omniverse libraries—to create high-fidelity 3D models simulating every machine, conveyor, pallet route, and operator path. AI agents identify up to 90% of potential issues pre-physically, delivering 20% throughput increases, near-100% design validation, and 10-15% CapEx savings by uncovering hidden capacity.

Ramon Laguarta, PepsiCo Chairman and CEO, emphasized embedding AI across operations for agility. Jensen Huang of NVIDIA and Siemens CEO Roland Busch highlighted digital twins as foundational for industrial AI, setting new standards in speed, quality, and efficiency. Initial U.S. facility optimizations establish performance baselines for global scaling.