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The U.S. Data Center Power Market was valued at USD 8.86 billion in 2023, and is expected to reach USD 17.14 billion by 2029, rising at a CAGR of 11.63%. Speak directly to the analyst to clarify any post sales queries you may have.
KEY HIGHLIGHTS
- A shift toward sustainability is evident in data center operations, driving the adoption of innovative solutions. Fuel cells in one such innovation in the U.S. data center power market. For instance, in 2024, Bloom Energy partnered with Intel Corporation to deploy fuel cell-based Energy Servers at Intel's Santa Clara data center, boosting its power capacity by several megawatts.
- AI adoption is on the rise in the U.S., driving the expansion of AI data centers. U.S. President, Joe Biden endorsed Microsoft's USD 3.3 billion investment in an AI data center in Racine, Wisconsin, emphasizing that it will generate 2,300 construction jobs and 2,000 permanent positions.
- Growing industrial demand has caused the U.S. government to raise electricity prices, affecting data center operations. For instance, average energy costs increased from USD 0.169 per kWh in July 2023 to USD 0.178 per kWh in July 2024.
SEGMENTATION INSIGHTS
- U.S. developers aim to boost battery storage capacity to over 30 GW by the end of 2024, outpacing petroleum liquids, geothermal, and wood-based energy. California leads with 7.3 GW, followed by Texas at 3.2 GW, while other states contribute 3.5 GW, driven by the rise in wind and solar energy generation.
- Diesel generators remain the preferred option in the U.S. data center power market, though some are transitioning to gas generators. TC Energy Corporation, a major North American natural gas pipeline operator, predicts that the growing energy demands of data centers will drive a significant increase in natural gas use for electricity generation in the US.
Segmentation by Electrical Infrastructure
- UPS Systems
- Generators
- Transfer Switches & Switchgears
- PDUs
- Other Electrical Infrastructure
Segmentation by UPS System Capacity
- < =500 kVA
- >500-1,000 kVA
- >1,000 kVA
Segmentation by Generator Capacity
- 0-1.5 MW
- 1.5-3 MW
- >=3 MW
Segmentation by Generator Type
- DRUPS
- Diesel, Gas & Bi-fuel Generators
- HVO Fuel
- Fuel Cells
Segmentation by Tier Standards
- Tier I & II
- Tier III
- Tier IV
REGIONAL ANALYSIS
- Rising investments in cloud and colocation services in the U.S. drive the demand for next-generation generators. In 2023 and 2024, Northern Virginia and the Midwest notably increased their adoption of advanced power infrastructure.
- Northern Virginia, Dallas, and Silicon Valley lead in adopting diverse fuel options, such as DRUPS systems, fuel cells, and natural gas. Hitachi Energy, FuelCell Energy, and Bloom Energy drive innovation, improving data center efficiency through strategic collaborations.
VENDOR LANDSCAPE
- The US data center power market is highly competitive, with major players such as ABB, Eaton, and Schneider Electric leading in power infrastructure. Cummins, Hitachi Energy, and Caterpillar dominate the generator segment of the U.S. data center power industry.
- In 2024, global investors are expected to lead significant mergers & acquisitions (M&As) in the data center sector, driven by the need for digital infrastructure driven by artificial intelligence (AI). This trend is anticipated to promote renewable-powered infrastructure and boost the UPS and generator markets in the Southwestern, Western, and Northeastern U.S. to tackle power challenges.
Key Vendors Profiles
- ABB
- Caterpillar
- Cummins
- Eaton
- Legrand
- Rolls-Royce
- Schneider Electric
- Vertiv
Other Prominent Vendors
- Aggreko
- Aksa Power Generation
- AEG Power Solutions
- AMETEK Powervar
- Anord Mardix
- Artesyn Embedded Power (Advanced Energy)
- Aten
- Austin Hughes Electronics
- BACHMANN
- BENNING Elektrotechnik Und Elektronik
- Borri
- Canovate
- CENTIEL
- Chatsworth Products
- Cisco Systems
- Controlled Power Company
- Cyber Power Systems
- Dataprobe
- Delta Electronics
- Detroit Diesel
- EAE Elektrik
- Enconnex
- Enlogic
- EverExceed Industrial
- Exide Technologies
- Fuji Electric
- Generac Power Systems
- General Electric
- Genesal Energy
- Hewlett Packard Enterprise
- HIMOINSA (Yanmar)
- Hitachi Hi-Rel Power Electronics
- HITEC Power Protection
- HITZINGER
- Huawei
- INNIO
- KEHUA Data (KEHUA Tech)
- KOEL (Kirloskar)
- Kohler
- Marathon Power
- Mitsubishi Electric
- MPINarada
- Natron Energy
- Panduit
- Piller Power Systems
- Plug Power
- Powertek
- Pramac
- Riello Elettronica
- Rittal
- SAFT(TOTAL)
- Shenzhen KSTAR Science & Technology (KSTAR)
- Siemens
- Socomec
- SolarEdge Technologies
- Thycon
- Toshiba
- VYCON
- WTI - Western Telematic
- ZAF Energy Systems
- ZincFive
KEY QUESTIONS ANSWERED
1. What is the growth rate of the U.S. data center power market?2. How big is the U.S. data center power market?
3. How many MW of power capacity is expected to reach the U.S. data center power market by 2029?
Table of Contents
1. About the Analyst2. Data Center Capabilities3. What's Included4. Segments Included5. Research Methodology6. Market at a Glance7. Premium Insights11. Geography Segmentation14. Quantitative Summary
8. Investment Opportunities
9. Market Dynamics
10. Market Segmentation
12. US
13. Market Participants
15. Appendix
Companies Mentioned
- ABB
- Caterpillar
- Cummins
- Eaton
- Legrand
- Rolls-Royce
- Schneider Electric
- Vertiv
- Aggreko
- Aksa Power Generation
- AEG Power Solutions
- AMETEK Powervar
- Anord Mardix
- Artesyn Embedded Power (Advanced Energy)
- Aten
- Austin Hughes Electronics
- BACHMANN
- BENNING Elektrotechnik Und Elektronik
- Borri
- Canovate
- CENTIEL
- Chatsworth Products
- Cisco Systems
- Controlled Power Company
- Cyber Power Systems
- Dataprobe
- Delta Electronics
- Detroit Diesel
- EAE Elektrik
- Enconnex
- Enlogic
- EverExceed Industrial
- Exide Technologies
- Fuji Electric
- Generac Power Systems
- General Electric
- Genesal Energy
- Hewlett Packard Enterprise
- HIMOINSA (Yanmar)
- Hitachi Hi-Rel Power Electronics
- HITEC Power Protection
- HITZINGER
- Huawei
- INNIO
- KEHUA Data (KEHUA Tech)
- KOEL (Kirloskar)
- Kohler
- Marathon Power
- Mitsubishi Electric
- MPINarada
- Natron Energy
- Panduit
- Piller Power Systems
- Plug Power
- Powertek
- Pramac
- Riello Elettronica
- Rittal
- SAFT(TOTAL)
- Shenzhen KSTAR Science & Technology (KSTAR)
- Siemens
- Socomec
- SolarEdge Technologies
- Thycon
- Toshiba
- VYCON
- WTI - Western Telematic
- ZAF Energy Systems
- ZincFive
Methodology
Our research comprises a mix of primary and secondary research. The secondary research sources that are typically referred to include, but are not limited to, company websites, annual reports, financial reports, company pipeline charts, broker reports, investor presentations and SEC filings, journals and conferences, internal proprietary databases, news articles, press releases, and webcasts specific to the companies operating in any given market.
Primary research involves email interactions with the industry participants across major geographies. The participants who typically take part in such a process include, but are not limited to, CEOs, VPs, business development managers, market intelligence managers, and national sales managers. We primarily rely on internal research work and internal databases that we have populated over the years. We cross-verify our secondary research findings with the primary respondents participating in the study.
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Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 63 |
| Published | October 2024 |
| Forecast Period | 2023 - 2029 |
| Estimated Market Value ( USD | $ 8.86 Billion |
| Forecasted Market Value ( USD | $ 17.14 Billion |
| Compound Annual Growth Rate | 11.6% |
| Regions Covered | United States |
| No. of Companies Mentioned | 69 |
