PepsiCo Partners with Siemens and NVIDIA to Deploy AI-Powered Digital Twins Across US Manufacturing and Warehouse Operations, Achieving 20% Throughput Increase

At CES 2026, PepsiCo announced a multi-year, industry-first collaboration with Siemens and NVIDIA to transform plant and supply chain operations through advanced digital twin technology and AI. PepsiCo is shifting to a digital-first planning strategy, leveraging physics-based digital twins and AI agents as co-designers to simulate, validate, and optimize facility layouts before any physical build. PepsiCo is using Siemens Digital Twin Composer, built on NVIDIA Omniverse libraries, to simulate upgrades to its facilities. PepsiCo and Siemens are digitally transforming select U.S. manufacturing and warehouse facilities by converting them into high-fidelity 3D digital twins that simulate plant operations and the end-to-end supply chain to establish a performance baseline. Within weeks, teams optimized and validated new configurations to boost capacity and throughput. Leveraging Siemens Digital Twin Composer, NVIDIA Omniverse and computer vision, PepsiCo can now recreate every machine, conveyor, pallet route and operator path with physics-level accuracy, enabling AI agents to simulate, test and refine system changes. The pilots identified up to 90 percent of potential issues before any physical modifications. Early results show a 20 percent increase in throughput on initial deployment. The collaboration is driving faster design cycles, nearly 100 percent design validation, and 10 to 15 percent reductions in capital expenditure. PepsiCo described this as a first-of-its-kind initiative for a global consumer packaged goods company.