Data Center Power Management Market Report 2025

The data center power management market size has grown strongly in recent years. It will grow from $22.13 billion in 2024 to $23.47 billion in 2025 at a compound annual growth rate (CAGR) of 6%. The growth in the historic period can be attributed to growing data center capacity demands, increasing adoption of cloud computing, rising awareness of energy efficiency, expansion of the digital economy, and government regulations promoting energy conservation.

The data center power management market size is expected to see strong growth in the next few years. It will grow to $33.84 billion in 2029 at a compound annual growth rate (CAGR) of 9.6%. The growth in the forecast period can be attributed to the continued growth of cloud services, rising demand for edge computing, increasing complexity in data center infrastructure, focus on renewable energy sources, and escalating importance of data security. Major trends in the forecast period include the adoption of modular data center designs, increased use of liquid cooling solutions, integration of AI and machine learning for power management, emphasis on sustainable and green data centers, and the development of energy-efficient hardware components.

The increasing volume of data traffic is anticipated to drive the growth of the data center power management market in the future. Data traffic refers to the transfer of digital data packets across computer networks or the internet. Power management is essential for data centers to handle this data traffic while ensuring the reliability and accessibility of their services, all while reducing energy consumption and costs. For example, in June 2024, Telefonaktiebolaget LM Ericsson, a telecommunications company based in Sweden, reported that 5G accounted for 25% of mobile data traffic at the end of 2023, up from 17% at the end of 2022. This figure is projected to rise to approximately 75% by 2029. Therefore, the increase in data traffic is propelling the growth of the data center power management market.

The expanding number of data centers is also expected to contribute to the growth of the data center power management market in the coming years. A data center is a centralized facility equipped with computing and telecommunications resources to store, process, manage, and disseminate vast amounts of data. Effective power management in data centers is crucial for optimizing energy efficiency, ensuring dependable operations, and minimizing environmental impacts by regulating and controlling power consumption across various components of the data center infrastructure. For instance, in February 2022, the Korea Data Center Council (KDCC), an organization in Korea dedicated to promoting the data center industry, reported that the total capacity of colocation data centers reached 430 MW, representing 11% of the total IT load in the Asia-Pacific region. Consequently, the rising number of data centers is driving the growth of the data center power management market.

Leading companies in the data center power management market are concentrating on advanced technologies, such as AI-driven monitoring systems and energy-efficient power distribution solutions, to optimize energy consumption and improve the overall reliability of data center operations. The Eaton 93T UPS is a compact uninterruptible power supply designed to deliver stable and efficient power for mission-critical applications in settings like server rooms and small data centers, with power ratings ranging from 15 kVA to 80 kVA. For example, in December 2023, Eaton Corporation plc, a manufacturing company based in Ireland, introduced the new compact UPS, the Eaton 93T UPS, aimed at providing stable power for mission-critical applications, including server rooms and small data centers. The Eaton 93T is suitable for various industries, such as finance, healthcare, government, and IT. Additionally, it features intelligent operational and management capabilities to utilize data insights for monitoring, managing, and optimizing performance.

Companies operating in the data center power management market are also intensifying efforts to introduce innovative solutions such as the 40kVA-class container-type data centers, aiming to maximize market revenues. The 40kVA-class container-type data center is a compact and mobile solution providing a versatile and energy-efficient environment for data processing and storage within a 12-foot container. Mitsubishi Heavy Industries Ltd., a Japan-based engineering company, launched a 40kVA-class 12ft container-type data center in October 2023. This solution features a hybrid cooling system utilizing immersion, air, and water cooling simultaneously to enhance reliability and achieve impressive Power Usage Effectiveness (PUE) values.

In May 2024, Jones Lang LaSalle Incorporated, a US-based real estate firm specializing in investment management for data centers, acquired SKAE Power Solutions (SKAE) for an undisclosed amount. This acquisition aims to strengthen JLL's data center services and technical expertise in critical infrastructure management, enhancing its capacity to assist clients throughout the entire data center lifecycle. SKAE Power Solutions is a US-based company that provides technical and project management services for data centers.

Major companies operating in the data center power management market include Huawei Technologies Co. Ltd., Siemens AG, General Electric Company, Schneider Electric SE, ABB Ltd., Hewlett Packard Enterprise, Cummins Inc., Eaton Corporation, Emerson Electric Co., Legrand SA, Kohler Co., Vertiv Group Corp., Generac Power Systems Inc., Aggreko Ltd., Delta Electronics Inc., Panduit Corp., Socomec, Cyber Power Systems Inc., Toshiba Electronic Devices & Storage Corporation, DataSpan Holdings, Server Technology Inc., Chatsworth Products Inc., ZPE Systems Inc., Sunbird Software Inc., Enlogic, Raritan Inc.

Europe was the largest region in the data center power management market in 2024. The regions covered in the data center power management market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the data center power management market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Spain, Canada.

Data center power management encompasses the strategies, processes, and tools employed to effectively manage and optimize power generation, consumption, and efficiency within a data center facility. This practice enables administrative control over the electrical energy tools and processes of a data center.

The key components of data center power management include hardware, DCIM (data center infrastructure management) software, and services. Hardware refers to both internal and external equipment and devices utilized for essential tasks such as input, output, storage, communication, and processing. These components are integral for monitoring, quantifying, managing, and regulating the resources and energy utilization of data centers. Various types of data centers exist, including modular data centers, colocation data centers, cloud data centers, edge data centers, hyper-scale data centers, and micro mobile data centers, which can be installed as new installations, retrofits, or upgrades. These diverse installations cater to various industries such as banking, financial services and insurance (BFSI), healthcare, manufacturing, IT and telecom, media and entertainment, retail, government, and others.

The data center power management market research report is one of a series of new reports that provides data center power management market statistics, including data center power management industry global market size, regional shares, competitors with a data center power management market share, detailed data center power management market segments, market trends, and opportunities, and any further data you may need to thrive in the data center power management industry. This data center power management market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The data center power management market consists of revenues earned by entities by providing services such as measuring, monitoring, and managing data center power usage, and analyzing power quality. The market value includes the value of related goods sold by the service provider or included within the service offering. The data center power management market also includes sales of microgrid controllers, power management systems, advanced protections, and controls tools. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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