DELRAY BEACH, Fla., Nov. 13, 2026 /PRNewswire/ -- According to MarketsandMarkets™, the global Data Center Power Market is projected to grow from USD 38.84 billion in 2026 to USD 52.43 billion by 2031, registering a CAGR of approximately 6.2% during the forecast period.
Browse 355 market data Tables and 55 Figures spread through 300 Pages and in-depth TOC on 'Data Center Power Market – Global Forecast to 2031'
Data Center Power Market Size & Forecast:
- Market Size Available for Years: 2021–2031
- 2025 Market Size: USD 35.15 billion
- 2026 Market Size: USD 38.84 billion
- 2031 Projected Market Size: USD 52.43 billion
- CAGR (2026–2031): 6.2%
Data Center Power Market Trends & Insights:
- Increasing investments in hyperscale data centers, cloud computing, AI infrastructure, and high-performance computing are driving demand for reliable and scalable power solutions.
- By component, the electrical solutions segment is expected to hold the largest market value of USD 34.00 billion in 2026.
- By data center size, mega-sized data centers are expected to grow at the highest CAGR of 12.1% during the forecast period.
- By data center type, enterprises are expected to hold the largest market value in 2026.
- North America is expected to hold the largest market value of USD 15.50 billion in 2026.
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The market is witnessing increasing demand for reliable, scalable, and energy-efficient power infrastructure as cloud computing, hyperscale data centers, artificial intelligence (AI), and high-performance computing continue to expand globally.
The growing scale and complexity of digital infrastructure are accelerating investments in advanced data center power systems. Hyperscale operators, colocation providers, and enterprises require reliable electrical infrastructure to support high-density computing, continuous workloads, and increasing power consumption. Solutions such as uninterruptible power supply (UPS) systems, power distribution units (PDUs), backup generators, switchgear, transformers, and battery energy storage systems (BESS) play a critical role in maintaining operational continuity. Operators are also increasingly adopting modular power infrastructure, intelligent monitoring, and integrated power management platforms to improve energy utilization, reduce downtime, and accommodate future capacity expansion.
At the same time, the growing deployment of AI workloads is changing data center power requirements. High-density racks and accelerated computing systems require higher power capacities, efficient power conversion, and advanced distribution architectures. Vendors are increasingly developing modular UPS systems, high-capacity power distribution solutions, solid-state transformers, and direct-current (DC) power technologies to address these requirements. AI-enabled monitoring, predictive maintenance, and automated load management are also becoming more important for optimizing electrical infrastructure. Meanwhile, sustainability commitments and grid constraints are pushing data center operators to explore renewable energy integration, battery storage, on-site generation, and grid-interactive power solutions.
By electrical solution, the uninterruptible power supply (UPS) segment is expected to hold the largest market share during the forecast period.
Uninterruptible power supply (UPS) systems are essential components of data center power infrastructure, providing backup power and protecting critical IT equipment against power interruptions, voltage fluctuations, and grid instability. Increasing dependence on cloud services, enterprise applications, and AI-driven workloads is strengthening the need for continuous power availability. UPS systems help maintain uninterrupted operations by supplying backup power during grid disturbances and enabling a controlled transition to generators or other backup sources. The growing deployment of high-density computing infrastructure is further increasing demand for high-capacity and energy-efficient UPS solutions. Modern UPS systems are evolving beyond conventional backup functionality through modular architectures, intelligent monitoring, and advanced power conversion technologies. Manufacturers are introducing scalable UPS configurations that allow operators to increase power capacity as data center requirements expand. High-efficiency operating modes, predictive maintenance, remote monitoring, and integration with battery energy storage systems also improve operational flexibility and reduce energy losses. These capabilities are particularly important for hyperscale and colocation facilities, where power availability and efficient load management directly influence operational performance. As a result, the UPS segment is expected to maintain its leading position in the Data Center Power Market.
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By data center type, the cloud/hyperscale data center segment is expected to record the highest CAGR during the forecast period.
Cloud and hyperscale data centers are seeing increased investment as organizations expand cloud computing, AI applications, and large-scale digital services. These facilities require high-capacity, scalable, and redundant power infrastructure to support extensive server deployments and intensive computing workloads. Their electrical infrastructure includes UPS systems, PDUs, generators, transformers, switchgear, and large-scale battery energy storage solutions to maintain continuous power availability. The growing deployment of AI infrastructure is further increasing power density and creating demand for advanced power distribution and conversion technologies. Power availability is also becoming a major consideration in hyperscale data center development. According to JLL's Asia Pacific Data Center Report Year-end 2025, the region is expected to add 24 GW of data center capacity between 2025 and 2030, while increasing grid connection delays are creating challenges for new developments. This is encouraging operators to explore behind-the-meter power solutions, battery storage, and renewable energy integration. Vendors are responding by developing modular power infrastructure, high-capacity UPS systems, intelligent power distribution, and integrated monitoring platforms. These solutions help operators expand capacity, manage fluctuating power loads, and maintain operational continuity. The increasing scale of hyperscale facilities and the need to support AI-driven workloads are expected to create significant opportunities for data center power solution providers.
Asia Pacific is expected to grow at the highest CAGR during the forecast period.
Asia Pacific is emerging as a major growth region for the Data Center Power Market, supported by rapid digitalization, expanding cloud infrastructure, increasing AI adoption, and investments in hyperscale facilities. China, India, Japan, Australia, Singapore, Malaysia, Indonesia, and Thailand are witnessing growing data center development as cloud service providers and enterprises expand their regional infrastructure. This expansion is driving demand for reliable power distribution, backup systems, energy storage, and intelligent power-management solutions.
According to the International Energy Agency's Electricity 2026 report, electricity demand in Asia Pacific increased by 4.1% in 2025 and is projected to grow by an average of 4.7% annually between 2026 and 2030. The region is expected to account for 56% of global electricity consumption by 2030. Rising electricity demand, combined with increasing data center capacity, is strengthening the need for efficient, resilient power infrastructure. Power availability and grid constraints are creating additional opportunities for manufacturers. In March 2026, Deloitte highlighted the need for coordinated investments in electricity generation, transmission, and distribution to support the region's expanding data center industry. Countries such as India and Malaysia are emerging as key destinations for new capacity, while established markets such as Singapore and Japan continue investing in advanced digital infrastructure. These developments are creating opportunities for vendors to supply modular UPS systems, high-efficiency PDUs, advanced switchgear, battery storage, and grid-integrated power solutions.
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Top Companies in Data Center Power Market:
The Top Companies in Data Center Power Market are Schneider Electric (France), Vertiv (US), ABB (Switzerland), Eaton (Ireland), Delta Electronics (Taiwan), Huawei (China), Legrand (France), Toshiba (Japan), Siemens (Germany), Mitsubishi Electric (Japan), Kehua Tech (China), Rittal (Germany), Socomec (France), CyberPower Systems (US), Anord Mardix (Ireland), Cummins (US), Rosenberger OSI (Germany), Belden (US), Panduit (US), AEG Power Solutions (Netherlands), Riello UPS (Italy), Rolls-Royce (UK), ZincFive (US), 42U (US), and nVent (US). These companies are focusing on product innovation, strategic partnerships, modular power infrastructure, energy-efficient technologies, and digital power management capabilities to strengthen their market positions.
Data Center Power Market - Investment & Funding Scenario
Investment and Funding Context
The Data Center Power Market is attracting higher investment as operators expand capacity to support AI workloads, cloud computing, and high-density data center deployments. Investment is being directed toward UPS systems, power distribution units, medium-voltage switchgear, backup generators, battery energy storage, and integrated power management solutions. The growing need for reliable electricity is also encouraging data center operators and infrastructure investors to secure power generation assets, grid connections, and long-term energy supply agreements. This is expanding investment beyond conventional electrical equipment toward generation, storage, and behind-the-meter power infrastructure.
Revenue Shift Context
Revenue growth is supported by continued spending on electrical power solutions and growing demand for services across the data center lifecycle. Electrical solutions accounted for approximately 87.7% of the global market in 2025, reflecting their importance in establishing and upgrading data center power infrastructure. However, services are projected to grow faster, at a CAGR of 7.4% during 2026–2031, compared with 6.0% for electrical solutions. This reflects rising demand for system integration, commissioning, maintenance, power audits, and lifecycle support as data centers adopt more complex power architectures. The shift toward high-density AI facilities is also increasing the need for specialized power design, monitoring, and optimization services.
Mergers and Acquisitions
Mergers, acquisitions, and strategic investments are reshaping the Data Center Power Market as companies seek to secure power generation capacity, expand electrical infrastructure capabilities, and strengthen their positions in the AI data center ecosystem. Recent transactions indicate growing interest in businesses involved in power generation, renewable energy, battery storage, and behind-the-meter power supply. These developments are also encouraging partnerships between data center operators, technology companies, utilities, and infrastructure investors.
DATA CENTER POWER MARKET: MERGERS AND ACQUISITIONS, JULY 2025–JUNE 2026
Month & Year | Deal Type | Company 1 | Company 2 | Description |
October 2025 | Financing agreement | Neuberger Specialty Finance (US) | Crusoe (US) | Neuberger Specialty Finance announced a USD 700 million financing facility to fund power generation equipment for Crusoe's AI data centers. The facility is secured by ordered gas generation equipment and supports the development of behind-the-meter power infrastructure for AI factories. |
May 2026 | Acquisition | DigitalBridge (US) | ArcLight Capital Partners (US) | DigitalBridge entered into an agreement to acquire ArcLight for a transaction value of up to USD 1.05 billion, including USD 650 million in base consideration and up to USD 400 million in contingent payments. The transaction aims to combine digital infrastructure investment capabilities with specialist expertise in power and electric infrastructure. |
Company Revenue Share Details
The Data Center Power Market includes diversified electrical equipment manufacturers, power management companies, and specialized data center infrastructure providers. Companies such as Schneider Electric, Vertiv, ABB, Eaton, Delta Electronics, Siemens, and Huawei offer a broad range of products, including UPS systems, power distribution units, switchgear, generators, and power management solutions. Other companies, including Cummins, Mitsubishi Electric, Toshiba, and Socomec, also offer power generation, electrical distribution, and backup power systems.
Comparing individual companies' revenue contributions is difficult because most vendors report sales across multiple industries and product categories rather than disclosing data center power revenue separately. Competitive positioning is therefore influenced by the breadth of electrical solutions, product reliability, energy efficiency, installed base, service capabilities, and relationships with hyperscale, colocation, and enterprise data center operators.
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