Data Center Power Market

Global Data Center Power Market Size, Share & Trends Analysis Report By Component, By End-use, By Regional Outlook and Forecast, 2025 - 2032

Report Id: KBV-27849 Publication Date: May-2025 Number of Pages: 332
2024
USD 19.65 Billion
2032
USD 50.67 Billion
CAGR
12.8%
Historical Data
2021 to 2023

“Global Data Center Power Market to reach a market value of USD 50.67 Billion by 2032 growing at a CAGR of 12.8%”

Analysis of Market Size & Trends

The Global Data Center Power Market size is expected to reach $50.67 billion by 2032, rising at a market growth of 12.8% CAGR during the forecast period.

The North America segment recorded 36% revenue share in the market in 2024. This dominance is attributed to many hyperscale data centers, advanced IT infrastructure, and key market players in the region. The growing demand for cloud services, big data analytics, and AI applications has further driven investments in power-efficient and resilient data center infrastructures.

Data Center Power Market Size - Global Opportunities and Trends Analysis Report 2021-2032

The major strategies followed by the market participants are Product Launches as the key developmental strategy to keep pace with the changing demands of end users. For instance, In December, 2024, Schneider Electric announced new AI-ready data center solutions, including liquid-cooled designs and the Galaxy VXL UPS, to address energy and sustainability challenges. In collaboration with NVIDIA, the solutions aim to optimize power efficiency and support AI workloads sustainably. Moreover, In November, 2024, Delta Electronics, Inc. has launched the SMART PDU I-Type, a compact 1U DC distribution unit with up to 21 intelligent, programmable breakers and remote management. It optimizes power distribution, enhances operational efficiency, saves space, and reduces costs for telecom and data center operators. Its design supports scalable, energy-efficient infrastructure for growing 5G and data needs.

KBV Cardinal Matrix - Market Competition Analysis

Based on the Analysis presented in the KBV Cardinal matrix; Huawei Technologies Co., Ltd. is the forerunner in the Data Center Power Market. In October, 2024, Huawei Technologies Co., Ltd. New-Generation All-Flash Data Center solution, launched at GITEX 2024, enhances data center performance, resilience, and energy efficiency. With innovations like diskless architecture and AI-powered storage, it supports sustainable, high-performance infrastructure for industries undergoing digital and intelligent transformation. Companies such as Cisco Systems, Inc., Schneider Electric SE, and General Electric Company are some of the key innovators in Data Center Power Market.

Data Center Power Market - Competitive Landscape and Trends by Forecast 2032

Market Growth Factors

The increasing popularity of colocation services significantly drives demand for scalable power infrastructure within data centers. As more enterprises seek to outsource their IT infrastructure to colocation providers, the need for flexible, high-capacity power systems supporting diverse tenant requirements is growing rapidly. Hence, this trend toward colocation benefits the clients and is a significant catalyst for power solution manufacturers and integrators, ensuring long-term growth for the market.

Additionally, The explosive growth in global data generation is a fundamental driver for the market. Data is being produced at unprecedented volumes, from high-definition video streaming and social media content to IoT sensors and AI-driven analytics. According to the United Nations, in 2020, approximately 64.2 zettabytes of data were created, which is a 314 percent increase from 2015. In conclusion, this evolving landscape prompts continuous innovation in power technologies, positioning the market as a critical enabler of the data-driven economy and ensuring a strong growth trajectory.

Market Restraining Factors

However, One of the most pressing restraints for the market is the steep upfront capital required to deploy advanced power infrastructure. Modern data centers demand high-performance, redundant, scalable power systems to ensure consistent uptime and operational efficiency. However, these systems—such as modular UPS units, intelligent PDUs, and advanced backup generators—come with significant costs, especially when paired with necessary integration technologies like energy monitoring software and automation tools. As a result, the high capital investment requirement remains a significant roadblock to widespread adoption and scalability within the market.

Data Center Power Market Share 2024

The leading players in the market are competing with diverse innovative offerings to remain competitive in the market. The above illustration shows the percentage of revenue shared by some of the leading companies in the market. The leading players of the market are adopting various strategies in order to cater demand coming from the different industries. The key developmental strategies in the market are Product Launches and Product Expansions.

Driving and Restraining Factors

Data Center Power Market
  • Rise in Colocation Driving Demand for Scalable Power Solutions
  • Surge in Data Generation Fuelling Need for High-Performance Power
  • Increasing Adoption of Hyperscale Data Centers by Tech Giants and Cloud Providers
  • High Initial Capital Investment Required for Advanced Power Infrastructure Deployment
  • Overcoming Space and Infrastructure Constraints in Urban and High-Density Locations
  • Rapid Expansion of 5G Networks Fuelling Edge Data Center Development
  • Acceleration of Digital Transformation Across Enterprises Fuelling Data Center Expansion
  • Complex Power Management and Integration Challenges
  • Frequent Technological Changes Increasing the Risk of Equipment Obsolescence

Component Outlook

The UPS segment acquired 67% revenue share in the market in 2024. This segment's dominance is attributed to UPS systems' critical role in providing immediate backup power during outages, ensuring uninterrupted data center operations. As data centers continue to support essential digital infrastructure, the demand for high-capacity and energy-efficient UPS systems has surged.

Data Center Power Market Share and Industry Analysis Report 2024

End-use Outlook

Based on end-use, the market is segmented into IT & telecom, BFSI, government, energy, healthcare, retail & e-commerce, and others. The IT & telecommunications segment acquired 19% revenue share in the market in 2024. The expansion of cloud computing, data-intensive applications, and growing internet users are major contributors to this segment's demand for power infrastructure. Telecom operators and IT firms increasingly invest in high-density data centers to support 5G networks, IoT, and AI technologies, boosting the need for efficient and scalable power systems.

Market Competition and Attributes

Data Center Power Market Competition and Attributes

The competition in the Data Center Power Market becomes more fragmented and dynamic, with increased opportunities for regional and emerging companies to gain market share. Innovation, energy efficiency, and strategic partnerships become key differentiators. The absence of dominant players fosters a more level playing field, encouraging diverse solutions and intensifying the race for technological advancement.

Regional Outlook

Region-wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The Asia Pacific segment witnessed 27% revenue share in the market in 2024. Rapid digital transformation, expanding internet penetration, and a surge in data consumption are fuelling the growth of data centers across emerging economies like China, India, and Southeast Asian countries. Government initiatives to develop smart cities and enhance IT infrastructure support market expansion.

Data Center Power Market Report Coverage
Report Attribute Details
Market size value in 2024 USD 19.65 Billion
Market size forecast in 2032 USD 50.67 Billion
Base Year 2024
Historical Period 2021 to 2023
Forecast Period 2025 to 2032
Revenue Growth Rate CAGR of 12.8% from 2025 to 2032
Number of Pages 332
Number of Tables 484
Report coverage Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Competitive Landscape, Market Share Analysis, Porter’s 5 Forces Analysis, Company Profiling, Companies Strategic Developments, SWOT Analysis, Winning Imperatives
Segments covered Component, End-use, Region
Country scope
  • North America (US, Canada, Mexico, and Rest of North America)
  • Europe (Germany, UK, France, Russia, Spain, Italy, and Rest of Europe)
  • Asia Pacific (Japan, China, India, South Korea, Australia, Malaysia, and Rest of Asia Pacific)
  • LAMEA (Brazil, Argentina, UAE, Saudi Arabia, South Africa, Nigeria, and Rest of LAMEA)
Companies Included

Schneider Electric SE, Mitsubishi Electric Corporation, Cisco Systems, Inc., Huawei Technologies Co., Ltd. (Huawei Investment & Holding Co., Ltd.), Eaton Corporation plc, Vertiv Group Corp., Legrand S.A. (Legrand Group), Delta Electronics, Inc., Equinix, Inc., General Electric Company

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Recent Strategies Deployed in the Market

  • Jul-2024: Eaton and Jafza have partnered to build a sustainable facility in Dubai, focusing on advanced manufacturing and R&D for power management. The 500,000 sq ft campus will support industries like data centers and solar energy, promoting sustainable manufacturing and innovation.
  • Jul-2024: Vertiv Group Corp. has launched MegaMod CoolChip, a liquid-cooled prefabricated modular data center solution designed for AI computing. It integrates Vertiv CoolChip technology for direct-to-chip cooling, power distribution, and other infrastructure needs. This solution reduces AI infrastructure deployment time by up to 50%, offering scalable, efficient, and reliable capacity.
  • Jun-2024: Schneider Electric SE has opened a 105,000-square-foot integration facility in Red Oak, Texas, to meet the rising demand for data centers. The facility will produce prefabricated IT infrastructure, creating over 200 jobs. This move supports Schneider’s partnership with Compass Datacenters, accelerating delivery and efficiency in the data center sector.
  • Jun-2024: Cisco Systems, Inc. and Nvidia, Computer manufacturing corporation announed the launch of Nexus HyperFabric AI clusters, an all-in-one AI data center solution featuring Cisco networking, Nvidia GPUs, AI Enterprise software, and VAST data storage. Targeting on-premises deployments, the solution simplifies managing generative AI infrastructure with cloud-based tools, aiming to support enterprises' AI applications securely and efficiently.
  • Jun-2024: Cisco Systems, Inc. announed the expansion of its security footprint with the first security cloud data centers in Jakarta, Indonesia. This expansion marks a new milestone in Cisco’s commitment to supporting businesses’ cyber security readiness in the country. This is in response to the fast-growing demand for security services across the country. The move allows businesses in Indonesia, especially the public sector, financial services, and state-owned enterprise customers, to align closer to local data regulations and compliance requirements.

List of Key Companies Profiled

  • Schneider Electric SE
  • Mitsubishi Electric Corporation
  • Cisco Systems, Inc.
  • Huawei Technologies Co., Ltd. (Huawei Investment & Holding Co., Ltd.)
  • Eaton Corporation plc
  • Vertiv Group Corp.
  • Legrand S.A. (Legrand Group)
  • Delta Electronics, Inc.
  • Equinix, Inc.
  • General Electric Company

Data Center Power Market Report Segmentation

By Component

  • Solutions
    • UPS
    • PDU
    • Busway
    • Other Solutions Type
  • Services
    • Integration & Deployment
    • Design & Consulting
    • Support & Maintenance

By End-use

  • BFSI
  • IT & Telecom
  • Retail & E-commerce
  • Healthcare
  • Government
  • Energy
  • Other End-use

By Geography

  • North America
    • US
    • Canada
    • Mexico
    • Rest of North America
  • Europe
    • Germany
    • UK
    • France
    • Russia
    • Spain
    • Italy
    • Rest of Europe
  • Asia Pacific
    • China
    • Japan
    • India
    • South Korea
    • Australia
    • Malaysia
    • Rest of Asia Pacific
  • LAMEA
    • Brazil
    • Argentina
    • UAE
    • Saudi Arabia
    • South Africa
    • Nigeria
    • Rest of LAMEA

Frequently Asked Questions About This Report

This Market size is expected to reach $50.67 billion by 2032.

Rise in Colocation Driving Demand for Scalable Power Solutions are driving the Market in coming years, however, High Initial Capital Investment Required for Advanced Power Infrastructure Deployment restraints the growth of the Market.

Schneider Electric SE, Mitsubishi Electric Corporation, Cisco Systems, Inc., Huawei Technologies Co., Ltd. (Huawei Investment & Holding Co., Ltd.), Eaton Corporation plc, Vertiv Group Corp., Legrand S.A. (Legrand Group), Delta Electronics, Inc., Equinix, Inc., General Electric Company

The expected CAGR of this Market is 12.8% from 2023 to 2032.

The Solutions segment led the maximum revenue in the Market by Component in 2024, thereby, achieving a market value of $35.00 billion by 2032.

The North America region dominated the Market by Region in 2024, thereby, achieving a market value of $18.00 billion by 2032.

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