Data Center Power Market - Global Outlook and Forecast 2019-2024
The global data center power market is estimated to reach $16 billion by 2024.
The increasing efficiency in power infrastructure is contributing to the growth of global data center power market. The high adoption of modular infrastructure will transform the global power generator market.
The increasing procurement of renewable energy sources to power data center operations is a major driver of the global data center power market. The growing power consumption in facilities, which increases carbon emission in the atmosphere, is driving hyperscale service providers to purchase clean, renewable energy sources to power their facilities worldwide. Hence, hyperscale data centers have emerged as major adopters of renewable energy infrastructure. The adoption of fuel cells by several service operators is growing due to their efficiency to decrease the environmental impact of power generation, thereby leading to a sustainable operating environment.
The adoption of DC UPS systems, which help to reduce power loss during the AC to DC conversion, is significantly contributing to the growth of the data center power market. Vendors are also increasingly involved in developing systems that are based on the Open Compute Project (OCP) designs.
This market research report on the global data center power market cover market sizing and forecast, market share, industry trends, growth drivers, and vendor analysis. The market study includes insights on the segmentation by infrastructure (UPS systems, generators, transfer switches & switchgear, rack PDU, and others), UPS systems (<=500 kVA, 500 kVA - 1000 kVA, and >1000 kVA), generators (<=1 MW, 1 MW-2MW, and >2 MW), tier standards (Tier I & II, Tier III, and Tier IV), and geography (North America, Europe, Middle East & Africa, Latin America, and APAC).
The report considers the present scenario of the global data center power market and its market dynamics for the period 2018−2024. It covers a detailed overview of several market growth enablers, restraints, and trends. The report profiles and examines leading companies and several other prominent companies operating in the data center power market.
Data Center Power Market: Segmentation
This market research report includes detailed market segmentation by infrastructure, UPS systems, generators, tier standards, and geography.
Reducing prices of lithium-ion batteries will contribute toward adoption of UPS systems among facility operators. Although the application of VRLA-based systems is widespread in the market, the exponential adoption of lithium-ion UPS systems is likely to increase during the forecast period. Further, colocation and modular facility operators are expected to increase their investment, including UPS systems with 2N redundant capacities.
The development of large and mega facilities will fuel the demand for generators, which will contribute to the growth of data center power market. Further, the adoption of Diesel Rotary Uninterruptible Power Supply (DRUPS) systems is growing. These systems have both battery and flywheel UPS topology and a diesel generator to provide backup during power outages. Asian countries are among the major revenue generators for DRUPS systems. However, with the growing concerns over carbon emissions, the use of diesel generators is expected to decline, thereby providing growth opportunities for other generators such as natural gas generators.
As vendors are continually innovating their UPS systems to improve efficiency, these systems are helping service providers to reduce OPEX and overcome the space constraint in the rack space. Also, the increased adoption of <= 500 kVA UPS systems in small- and medium-sized facilities is a key factor for the growth of the segment. The installation of <= 500 kVA UPS is further expected to be high among prefabricated service operators.
The >2 MW generator systems segment dominated the global generator market. The increased deployment of >2 MW generator systems in mega and large facilities by hyperscale service operators is a major factor for their high revenue share. Data center regions, which subject to frequent power outages, are likely to adopt multiple redundant generator systems during the forecast period. The adoption of DRUPS is gaining traction in several countries due to their cost-effectiveness.
The growing demand for redundant components to support mission-critical applications in Tier III facilities is likely to boost the power and cooling infrastructure during the forecast period. Many Tier III facilities are built with a flexible design, supporting the installation of tier IV redundant infrastructure. Although a majority of facilities across the globe fall under the Tier III category. The increase in the rack power density and critical data center applications is to drive many service operators to move to the Tier IV category during the forecast period. The incorporation of flexible designs is expected to configure up to 2N+1 redundancy.
Market Segmentation by Electrical Infrastructure
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