The partnership is expected to create intelligent, connected solutions for residential HVAC energy customers, the press release said.

Electricity demand is rising across the U.S. as factors such as onshoring, the electrification of transport, and the adoption of artificial intelligence (AI) converge. These factors present new opportunities and challenges for both utilities and consumers. By leveraging real-time energy forecasting and intelligent grid interaction, Carrier and Google Cloud are working to ensure Carrier’s HEMS technology will help balance supply and demand across the grid, the press release said.

This means homeowners can store energy in batteries and use it during peak demand periods, when electricity costs are typically higher. Google’s AI-powered WeatherNext models further optimize HVAC operation, enabling greater efficiency and potential cost savings. This will help promote greater availability, reliability, and affordability for energy users, the press release said.

This initiative will help move Google toward its goal of creating carbon-free energy solutions that support reliable and resilient grid operations. It also supports Carrier’s goal of helping its customers avoid more than one gigaton of greenhouse gas emissions by 2030. Under the partnership, Carrier and Google Cloud will collaborate on innovative solutions to help unlock capacity and grid expansion in U.S. markets, the press release said

“Across the country we see an opportunity to build resilience in communities and scale innovative, clean energy solutions that foster economic growth,” said Caroline Golin, global head of Energy Market Development and Innovation at Google. “Through collaboration with Carrier, and across the industry, we hope to create the change that brings benefits for all.”

Carrier’s next-generation heat pump will feature battery storage, intelligent energy forecasting, and grid-interactive capabilities to help utilities flatten demand peaks and enhance efficiency. By integrating Carrier’s HEMS technology with Google Cloud’s BigQuery, Vertex AI, generative AI solutions, and WeatherNext’s forecasting models, the system will manage energy flows in real time, charging, discharging and redirecting energy based on grid conditions, energy demands and weather forecasts, which will contribute to a more balanced and sustainable energy grid, the press release said.

Homeowners using stored energy during peak periods can help reduce strain on the grid when electricity demand is highest and energy supplies tend to have a higher carbon footprint. The project will roll out in phases through 2027, with a focus on scaling nationwide adoption thereafter.

“Our energy systems must evolve to be more intelligent, flexible, and economically efficient,” said Hakan Yilmaz, chief technology and sustainability officer at Carrier and head of the company’s new energy business. “By integrating Carrier’s HEMS technology with Google Cloud’s AI and analytics, we aim to help increase the efficiency of existing energy infrastructure-reducing grid congestion, unlocking greater energy utilization, and contributing to economic growth.”